Fed rate hikes may be damaging the economy – Kashkari
Neel Kashkari says low inflation may be the result of tighter policy
The interest rate hikes implemented by the US Fed since December 2015 may be “doing real harm” to the economy, Minneapolis Fed President Neel Kashkari said on September 5.
In his view, he said, that would explain why inflation remains below the Fed’s 2% target and the labour market has somewhat slowed. In August, the US economy created 156,000 jobs, but the unemployment rate rose slightly to 4.4% from 4.3% in July.
“We at the Fed might be making one of two fundamental mistakes. Number one, we
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