SF Fed's Yellen on the US economy in 2007

In the speech 'The US economy in 2007: Prospects and puzzles' given on 22 January Janet Yellen of the Federal Reserve Bank of San Francisco said the Federal Reserve's interest rate policy is about right even as a "gangbusters" labor market may fuel inflation going forward.

The key federal funds rate, now at 5.25 pct, "is currently within the moderately restrictive range that appears appropriate," Yellen said in her speech to the Joint Rotary Clubs of Reno and the East Bay.

Yellen stressed that

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