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Ep. 236 Jon Stewart Asks Great Questions of Federal Reserve Chief

In a recent episode of “The Problem With Jon Stewart,” the former Daily Show host asks former president of the Kansas City Fed Thomas Hoenig why the Fed couldn’t have bailed out homeowners, or just “quantitative ease” away the Treasury’s debt. Hoenig gives muddy answers, so Bob tries to clarify.

Mentioned in the Episode and Other Links of Interest:

The audio production for this episode was provided by Podsworth Media.

About the author, Robert

Christian and economist, Research Assistant Professor with the Free Market Institute at Texas Tech, Senior Fellow with the Mises Institute, and co-host with Tom Woods of the podcast "Contra Krugman."


  1. Tel on 04/19/2022 at 11:38 AM

    The question that Jon Stewart danced around but failed to ask was, “Why not use inflation to devalue all of our debts and thus shaft our creditors?”

    The correct answer, of course, is “Shhhh, shut up you idiot!”

  2. Tuppenceworth on 04/19/2022 at 6:53 PM

    QE is still a central bank creating units of currency to buy assets, though, isn’t it? So it could later sell those assets to remove some units from circulation (provided those assets retain any value). It’s not the same as if a central bank just created money and *gave it away* to a government to pay its debts. This wouldn’t be “quantitative easing” of a national debt, right?

    Maybe this was where some of the guest’s confusion was coming from?

    • Robert Murphy on 04/22/2022 at 2:20 AM

      What Jon Stewart meant is that the Fed creates dollars out of thin air to buy the Treasury debt from the Chinese (say). Then the Fed just rips up the Treasury securities instead of demanding that the federal government send over the dollars that the Treasury securities entitle the owner to.

  3. Patrick Ray on 04/26/2022 at 7:58 PM

    Well done Bob, well done. I feel like we’re living in crazy times when Jon Stewart comes across as extremely moderate.

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