Kocherlakota wants FOMC to stress target symmetry
Recommends adopting the language used by the Bank of Canada
The Federal Open Market Committee (FOMC) should be clear that its inflation target is "symmetric", according to Minneapolis Fed president Narayana Kocherlakota, by adopting the same language used by the Bank of Canada.
Kocherlakota told the Laurentian Chamber of Commerce that "inflation below 2% is just as much of a problem as inflation above 2%", and the Fed should explicitly recognise this.
The Bank of Canada promises to act "to bring inflation down, or to push it back up, to 2%" where
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