The Traderszone Network

Published in TZ Latest News 3 May, 2014 by The TZ Newswire Staff

All "Rules-based" Economists Agree: Fed Policy Is Too Easy

This week’s data marked a crucial turning point in US monetary policy. For all those “rules-following” economists out there with their various adaptions of the infamous Taylor Rule (a model that stipulates how much the central bank should change the nominal interest rate in response to changes in inflation, output, or other economic conditions), this week marked the point at which ALL models suggest that Fed interest rate policy is simply too easy.

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