The Traderszone Network

Published in TZ Latest News 9 July, 2015 by The TZ Newswire Staff

Fed’s Kocherlakota: Drop in neutral rate makes Fed’s job harder

A significant drop in the long-run interest-rate level that marks a sweet spot for a healthy U.S. economy is making it harder for the Federal Reserve to do its job, a top policymaker said on Thursday. Fiscal authorities can ease this problem by issuing more debt, Minneapolis Fed President Narayana Kocherlakota said in remarks prepared for delivery in Frankfurt.

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