Bernanke programmes dilute Greenspan's intuition

According to this article published by Bloomberg on Monday 4 December, a small team of Federal Reserve staff is testing a new "factor model'' programme that does the work of hundreds of economists.

"The Fed could use the help: Its gross domestic product forecasts, which influence its interest rate decisions, have missed the mark by an average of 1 percentage point since 2000," the article says.

"The central bank won't say when its factor model will be used to help set policy. For now, Bernanke

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