According to the Federal Reserve (Fed) Vice Chairman Stanley Fischer, the proof that the natural interest rate has dropped to low levels could signal the stagnation of the economy in the low-growth track that could prove hard to avoid.
Mr. Fischer stated that the “silver lining” could be a possibility that better policy could boost the natural rate and the US potential. This would involve not only the monetary policy, but also “some combination of improved public infrastructure, better education, more improvement for private investment, and more effective regulation,” according to Vice Chairman of Fed.
What are your thoughts guys?
Will we have the rate hiek this year or?
Mr. Fischer stated that the “silver lining” could be a possibility that better policy could boost the natural rate and the US potential. This would involve not only the monetary policy, but also “some combination of improved public infrastructure, better education, more improvement for private investment, and more effective regulation,” according to Vice Chairman of Fed.
What are your thoughts guys?
Will we have the rate hiek this year or?
Will we witness rate hike in December?
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