Milken Economist Lee Sees Fed on 'Cruise Control'

The video discusses concerns about the Federal Reserve's role in the US economy, particularly regarding potential overheating. It covers the fiscal stimulus and monetary tightening, suggesting the Fed is on a steady path. The discussion highlights more downside risks than upside risks. Additionally, it examines the influence of low funding rates and the significant role of private equity in corporate investments, noting the Fed's monitoring of these market dynamics.

What is the Fed's current approach to managing the US economy?

• Expansion of the balance sheet

• Cruise control with a focus on slowing growth

• Aggressive monetary easing

• Immediate fiscal tightening

What is the Fed's perspective on the downside risk to the economy?

• Risks are balanced

• There is more upside risk

• Downside risk is minimal

• There is more downside risk

What is a significant concern regarding funding rates and Fed policy?

• Funding rates are too high

• Funding rates are historically low

• Funding rates are irrelevant

• Funding rates are increasing rapidly

How many firms are currently under private equity ownership compared to publicly listed firms?

• 3000 private equity, 7000 publicly listed

• 7000 private equity, 3000 publicly listed

• 6000 private equity, 6000 publicly listed

• 5000 private equity, 4000 publicly listed

What role does private equity play in the current economic landscape?

• It is only involved in small businesses

• It is a major source of corporate investment funding

• It is decreasing in influence

• It has no significant role