The End of an Era: The Fed Lifts Off
1Athanasios Orphanides, "Fear of Liftoff: Uncertainty, Rules, and Discretion in Monetary Policy Normalization," Review of the Federal Reserve Bank of Saint Louis, Third Quarter 2015.
2Goldilocks concept: An economy that is not so hot that it causes inflation, and not so cold that it causes a recession. There are no exact markers of a Goldilocks economy, but it is characterized by a low unemployment rate, increasing asset prices (stocks, real estate, etc.), low interest rates, brisk but steady GDP growth and low inflation. (Source: Investopedia)
3Quoted in Stanley Fischer, "Rules versus Discretion in Monetary Policy," in Benjamin M. Friedman and Frank H. Hahn, eds., Handbook of Monetary Economics (1990).
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