Wall Street

More than rate hikes needed

Published by
The Bangkok Post

As inflation in the United States reaches new heights, economists are debating how high the Federal Reserve will need to hike interest rates to curb demand and rein in price growth. Some commentators believe that the Fed will need to be as aggressive as Fed Chair Paul Volcker in the early 1980s, who ended up raising interest rates to as high as 20%. Such figures understandably raise concerns that the effort to contain inflation will result in a recession and a sharp increase in unemployment. As a recent Peterson Institute for International Economics policy brief observes, reductions in job vac…

Read More

Share this Story
Load More Related Articles
Load More In Wall Street