Kocherlakota suggests two-year timetable on 2% target
FOMC has not specified a time frame for the inflation target
The Federal Reserve should consider adopting a benchmark for returning inflation to its 2% target – perhaps a two-year time horizon – to provide the public with greater certainty, according to Narayana Kocherlakota, president of the Federal Reserve Bank of Minneapolis.
Although the Federal Open Market Committee has a 2% inflation objective "over the long run, it has not specified any time frame for achieving that objective", Kocherlakota argued in a speech on September 22.
"This lack of
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