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It's been one year since the Fed started raising interest rates to curb inflation

Mar 23, 2023
Back then it seemed like inflation might be what economists call "transitory." But here we are.
Economist Laurence Ball said many people including Fed Chairman Jerome Powell dismissed the inflation issue initially.
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Housing costs are a main reason inflation is still high

Mar 14, 2023
The cost of shelter is driving more than 70% of inflation right now, according to the Bureau of Labor Statistics. So what gives?
It can take a year or more for changes in housing costs to show up in inflation data.
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The Federal Reserve's economic policy powers might be limitless, but should they?

Feb 27, 2023
In her book "Limitless," New York Times reporter Jeanna Smialek asks how the Fed arrived at this powerful state.
"[Fed Chair Jerome] Powell and his colleagues knew, even as business news channels cheered on the forceful March 23 response that morning, that it would open his institution up to political criticism and possible mission creep," writes Jeanna Smialek in her new book. Above, Powell during an interview on Feb. 7.
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How a “divorce” between the Treasury and Fed helped build the modern economy

Dec 13, 2022
In the 1950s, the U.S. Treasury and the Federal Reserve reached an agreement that helped create the economy we have today.
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Why the Fed's plans to shrink its balance sheet could get complicated

Jul 12, 2022
The central bank has made its portfolio a key part of monetary policy. But the balance sheet's economic impact isn't entirely clear, experts say.
As the Fed has scooped up assets to carry out quantitative easing, some are asking: At what cost? Above, the Federal Reserve building in Washington, D.C.
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The Federal Reserve plans to shrink its balance sheet. Here's what that means.

May 3, 2022
The strategy is aimed at tightening credit and easing inflation. Purdue's Cathy Zhang worries about the effects on financial markets.
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For public good, not for profit.

When it comes to inflation measures, the Federal Reserve prefers the PCE

Apr 29, 2022
For monetary officials, the personal consumption expenditures gauge beats the CPI. A trip to the grocery store helps explain why.
When pressed about fighting inflation, survey participants say they want to hold the line on prices for essentials, says Eric Plutzer of the McCourtney Institute for Democracy. But "those policies require the Congress and the president to work together."
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The Fed will sell some of the bonds it's been buying in an effort to cool the economy

Apr 6, 2022
Selling the Treasury and mortgage-back bonds on its balance sheet helps the central bank raise interest rates.
According to its March meeting minutes, the Federal Reserve will start selling $95 billion worth of bonds per month.
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As PPP funds run dry, small businesses need capital

Jul 29, 2021
There’s still a lot of recovery to go, and financial ground to make up - for small businesses, especially, according to new analysis.
Larger companies initially took advantage of the Paycheck Protection Program, which was intended to offer forgivable loans to smaller businesses.
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