Nevada’s Economy: Is U.S. Monetary Policy Creating an Inflationary Environment?

Nevada's Economy- Is U.S. Monetary Policy Creating an Inflationary Environment

With the U.S. economy still performing poorly, U.S. monetary policy remains quite easy. Because expected inflation is greater than short-term interest rates, real short-term interest rates are negative. In addition, the Federal Open Market Committee (FOMC) announced on Wednesday, June 20 that it will take steps to further reduce long-term interest rates by selling some of the shorter-term government bonds it holds and using the proceeds to buy longer-term government bonds. Is conduct of monetary policy creating an environment in which we should worry about inflation?

Read the Entire Report

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>