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Active policy can provide stability-Fed's Bernanke

Federal Reserve Governor Ben Bernanke said in a paper due to be delivered at a Dallas Fed conference on Friday 24 October that "The fact that the Federal Reserve and other central banks actively manipulate their instrument interest rates is not necessarily inconsistent with their providing a stable monetary background".

Source: Reuters

Actively using interest rates to cushion an economy from shocks can help protect jobs and foster growth without fuelling inflation if the public trusts the central

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