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Just as it was difficult for the Fed to tell when to start raising rates last year, it’s hard to know when to stop. What happens if the economy slows down sharply but inflation remains high?
For the Fed, Easing Too Soon Risks Repeat of Stop-and-Go 1970s
Just as it was difficult for the Fed to tell when to start raising rates last year, it’s hard to know when to stop. What happens if the economy slows down sharply but inflation remains high?