Chairman Bernanke is trying to establish his reputation as an "inflation fighter".
But the following statement is quite contradictory:
..."in 2003 the Federal Reserve made explicit for the first time that price stability is a symmetric objective: It is important to avoid inflation that is too low as well as inflation that is too high."Reflections on the Yield Curve and Monetary Policy
To: economist-student
I thought another hike was a foregone conclusion. May I interpret his comments to mean this may not be the case?
2 posted on
03/21/2006 12:51:57 PM PST by
VegasCowboy
("...he wore his gun outside his pants, for all the honest world to feel.")
To: economist-student
I forsee, at most, one more .25 increase by the Fed...but I'm betting that they are actually done tightening for now. The housing price boom has pretty much topped out and leading indicators were down in February. Further tightening could be damaging to the steady economic expansion we are currently enjoying.
3 posted on
03/21/2006 12:52:41 PM PST by
TampaDude
(If you're not part of the solution, you're part of the PROBLEM!!!)
To: economist-student
The new Fed Chairman smells a lot like Greenspan [who was the major cause of our last two recessions].
6 posted on
03/21/2006 1:00:28 PM PST by
curmudgeonII
(One man...and the Lord...are a majority.)
To: economist-student
The dollar valuation is dropping against the Euro; usually, that means another rate hike to prop it up before gasoline prices climb even higher.
11 posted on
03/21/2006 1:32:29 PM PST by
ARCADIA
(Abuse of power comes as no surprise)
To: economist-student
policy firming Does that mean increasing the interest rate?
12 posted on
03/21/2006 1:35:23 PM PST by
RightWhale
(pas de lieu, Rhone que nous)
To: Toddsterpatriot; martin_fierro
We're all doomed. Doomed! DOOMED!!!18 posted on
03/21/2006 2:18:40 PM PST by
Petronski
(I love Cyborg!)
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