Target inflation traditionally, G30 tells Fed
Working group says its proposed changes to Fed framework might prevent repeat of 2023 banking crisis
The US Federal Reserve should return to traditional inflation targeting and publish staff forecasts of alternative macroeconomic scenarios, argues a new report from the Group of Thirty.
The report, published yesterday (April 30), was written by a working group headed by former Federal Reserve Bank of New York president William Dudley, and aims to influence this year’s framework review at the US central bank.
In a discussion yesterday, Dudley argued that a symmetric inflation target would help
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