Archive for the ‘New Posts’ Category

Josh Bivens for the Win: The Fed Interest Rate Liftoff is the New Deficit Reduction

January 14th, 2015

Orange may be the new black, but in my world raising the federal funds rate is the new deficit reduction. Let me explain. I keep bumping into arguments about why, despite pressures from wages or prices, either in real life or in expectations, the Fed should pre-emptively raise the interest rate it controls in order… Read more