Tag Archives: Knut Wicksell
The Neutral Rate of Interest
Several Fed policy-makers are focusing their comments and analyses on the neutral rate of interest – a level of the real (inflation-adjusted) Fed funds rate that will neither slow down nor speed up the economy. If the Fed funds were set at this level, inflation and unemployment would be stable. The neutral rate changes depending…
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- Categories
- Blitzer's Insights
- Other Tags
- Knut Wicksell