Focusing on nominal GDP targeting would keep this from happening, assuming that the Fed can actually make up for lost ground through unconventional stimulus. The Fed has left economic growth on the table. If inflation is 1 percent, the price level is not as high as it would have been at 2 percent. The problem with this, argues Reid, is that if inflation comes in at anything less than 2 percent, the Fed notches a win. Fed Chair Ben Bernanke and his governors have been comfortable with inflation at a maximum of 2 percent annually, a cue followed by other bankers in the developed world. The Fedâs dual mandate requires it to maximize employment while controlling the rate of inflation. But the recovery argument rests, in part, on the Fed using the wrong meter for growth. I work for myself manforce staylong tablet online You have no doubt been told that the global economy is recovering.
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