Why the Fed Shouldn’t Get Credit for the Fall in Inflation

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Does the Federal Reserve deserve credit for the decline in inflation? The economic evidence is clear: No, not a lot.

On the face of it, inflation plummeted after the Fed, flat-footed at first, finally caught up by imposing a rapid series of rate increases. Dig into what actually happened, and there is no obvious link between the Fed action and the slowdown in inflation.  

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