Found 513 article(s) for author 'Monetary Policy'

Trump’s trade wars and Brexit are making us all poorer

Trump’s trade wars and Brexit are making us all poorer. Jeffrey Frankel, November 27, 2018, Opinion, “The world is in a trade war and there is no sign of peace breaking out anytime soon. By now, the disruption to trade appears extensive enough to factor negatively into forecasts for economic growth. Does that mean the Federal Reserve should stop gradually raising interest rates?Link

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The Case for Pausing the Interest-Rate Climb

The Case for Pausing the Interest-Rate Climb. Jason Furman, November 27, 2018, Opinion, “The Federal Reserve has done an outstanding job fulfilling its dual mandate of maximum employment and price stability. To keep the economy in this happy Goldilocks position, the Fed should hold off on raising rates at its December meeting and consider incoming data before deciding when—or even whether—to resume tightening.Link

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Introduction to: the euro at twenty

Introduction to: the euro at twenty. Laura Alfaro, November 27, 2018, Book Chapter, “January 1, 2019 marks 20 years since the introduction of the euro. This anniversary presents an opportunity to reflect on lessons learned from the first 20 years of EMU in Europe, and consider prospects for the future. The last few years have demonstrated the strains possible when multiple countries engage together in the bold venture of monetary union. The editors of Review of World Economics decided to invite several prominent thinkers to offer their insights, regarding what they believe was the biggest surprise from the euro’s first 20 years, and what is the biggest challenge for next 20 years.Link

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Raise Rates Today to Fight a Recession Tomorrow

Raise Rates Today to Fight a Recession Tomorrow. Martin Feldstein, November 26, 2018, Opinion, “Federal Reserve Chairman Jerome Powell will lay out a vision Wednesday for the course the Fed will steer through coming economic turbulence. So far, the Fed’s governors have appeared committed to their plan to continue raising interest rates, which they began in late 2015 after nearly a decade of holding them near zero. The federal-funds rate has jumped from 0.3% in January 2016 to 2.2% today, and the median forecast of the Federal Open Market Committee is that it will reach 3.4% by the end of 2021.Link

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50 percent chance of a US recession by 2020

50 percent chance of a US recession by 2020. Lawrence Summers, November 15, 2018, Video, “Former Treasury Secretary Larry Summers has put the chances of a U.S. recession at 50 percent within the next two years. The economist told CNBC’s Joumanna Bercetche on Thursday that a slowdown in growth was a “near certainty” before adding “the recession risk is nearly 50 percent over the next two years, maybe slightly less.Link

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