Analysis: Fed's inflation target points to more stimulus

01/30/2012 | Economist (free content), The · Forbes

Given the feeble economic recovery, an explicit inflation-rate target announced by the Federal Reserve sends a clear signal that the central bank is nearing another round of stimulus, according to The Economist. "With unemployment too high and inflation still weak, more monetary stimulus is easily justified," the magazine says. Fed Chairman Ben Bernanke "left the door open to that option. The odds are that he will walk through it."

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Economist (free content), The · Forbes

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