Corporations built up an extraordinary level of cash reserves during the current expansion. Firms have only recently started to draw down their substantial cash holdings through accelerated shareholder payouts, cash-financed mergers and acquisitions, and increased investment. These developments highlight the strong interest that economists and policymakers have in the interaction...

Federal Reserve governor Kevin Warsh's speech sketches a plan for fixing the financial system based on common sense and experience.

The Obama administration's attempts to convince other countries to strengthen their currencies and the Fed's renewed bout of quantitative easing have faced staunch criticism in the United States and abroad, and have shown that the "currency wars" are far from over.

If a modern-day Aesop were to write a fable that illustrates the essential character of the American government, he could model it on the story of Peter Diamond.

Deficit-reduction measures in the new Congress and pressure to scale back the second round of quantitative easing could stunt U.S. economic growth and further dampen the global recovery.

The president should select two superstars, perhaps one from each political party, and give them recess appointments to the Fed.