Thursday breakdown: Kudlow predicts a big Fed policy move in late August; Meltzer opposes QE and Keynesian stimulus; Hanke blames capital requirements for Italy's problems.

On NRO, Larry Kudlow anticipates a Bernanke QE3 announcement in late August at the Fed’s Jackson Hole retreat.

At RCM, John Tamny argues the Fed’s low interest rates contribute to economic weakness.

On Forbes, Louis Woodhill analyzes recent moves in gold, the Dow, and treasuries.

At Fox Business News, Lew Lehrman suggests a gold-convertible dollar would help stabilize the world economy.




In The WSJ, monetarist Allan Meltzer opposes additional quantitative easing or new stimulus spending.

At International Liberty, Cato’s Dan Mitchell lauds Meltzer’s prescriptions.

The Financial Times quotes Cato’s Steve Hanke on Europe’s financial crisis:

Steve Hanke, an economics professor at Johns Hopkins University in the US city of Baltimore, noted that “capital-raising mania” in the eurozone to strengthen banks had sent M3 – a broad measure of money supply – into negative territory in Italy. “The economy won’t be far behind and, in consequence, all those debt-burden numbers will be knocked into a cocked hat,” he told the Financial Times.

At The WSJ, Stephen Moore reports the Super Committee’s ideological makeup makes a grand bargain unlikely.

On The Kudlow Report, Jimmy Pethokoukis discounts the prospects of a pro-growth deal from the budget Super Committee:




From Newsmax, Art Laffer recounts his advice to President Obama.

In The Washington Times, David Malpass assesses the debt downgrade.

At The CBS Early Show, Steve Forbes chides the Fed for trashing the dollar and predicts a return to a gold-linked dollar:




On COAL, Paul Krugman notes potential versus actual GDP.

Also at COAL, Krugman mocks The WSJ for its prediction that bond vigilantes would hike interest rates due to large fiscal deficits.