What Did the Fed Do When Inflation Died?

June 2008
International Journal of Political Economy;Summer2008, Vol. 37 Issue 2, p49
Academic Journal
This article examines the purpose and actions of the United States Federal Reserve, the mechanism for implementation of monetary policy. The Reserve's mandate is to act towards balanced growth and full employment yet it often is more preoccupied with inflation. The pros and cons of the long-term interest rate and its term structure are discussed. Various economic indicators are used to analyze the decisions of the Reserve over a thirty year period. The authors also employ a vector autoregressive model to investigate yield curves.


Related Articles

  • When up is down. van Wyngen, Gerry // BRW;7/8/2004, Vol. 26 Issue 26, p36 

    Focuses on the decision of the U.S. Federal Reserve Bank to increase its overnight interest rates in June 2004. Implications on the interest rates in Australia; Effect of the interest rate increase on the performance of major economies; Impact of the rates on Australian stock prices.

  • Asia Rates: Rising At Their Own Pace.  // Emerging Markets Monitor;12/20/2004, Vol. 10 Issue 35, p5 

    States that Asian central banks are unlikely to automatically follow the U.S. Federal Reserve which raised rates in December 2004. Number of times when the U.S. has increased its interest rates in the same year; Economic conditions in Asia as of December 20, 2004; Conflicting factors that...

  • Interest Rates Hinge on 'Slack'. Rick, Steve // Credit Union Magazine;Dec2009, Vol. 75 Issue 12, p50 

    The article discusses the economic aspect of the slack and the Federal Reserve concerning interest rates for credit unions in the U.S. in 2009. An overview of the three conditions that should occur before the Federal Reserve tightens monetary policy is presented. It notes that the slack is the...

  • Fed may be forced to alter its monetary policy. Nagan, Peter S. // ABA Banking Journal;Aug83, Vol. 75 Issue 8, p14 

    Explains that the U.S. Federal Reserve Board is inclined to tighten credit and allow interest rates to rise significantly in 1983. Performance of the U.S. economy; Evaluation of the economic indicators; Probable direction of the economy.

  • Letters. Zeller, Hans; Molnar, James // San Diego Business Journal;3/14/2005, Vol. 26 Issue 11, p38 

    Presents Several letters to the editor referencing articles and topics discussed in previous issues. Views on Ford's Five Hundred Sedan; Comments on raised interest rates in the U.S.; Focuses on the effect of the U.S. Federal Reserve Board on the U.S. economy.

  • 'Floors' Put Potential Ceiling on Loan Profits. Davis, Paul; Monks, Matthew // American Banker;2/22/2010, Vol. 175 Issue 27, p1 

    This article discusses the negative effect that a rise in the discount rate for banks by the Federal Reserve Board will have on U.S. banks. At first bankers thought the increase would have a negligible effect, but now they realize that in the long term it could signal changes that might further...

  • Where does the Fed go from here? Beckner, Steven K. // Futures: News, Analysis & Strategies for Futures, Options & Deri;Jul2008, Vol. 37 Issue 7, p24 

    The article discusses the possible move of the U.S. Federal Reserve Board to increase the interest rates. Observers are guessing whether the Fed should forego further rate cuts and look toward raising rates as a way of controlling inflation. However, the author admits that it's a bit premature...

  • Federal Reserve Raises Interests Rates. Hoxter, Curtis J. // Caribbean Business;3/31/2005, Vol. 33 Issue 12, p10 

    The article analyzes factors leading to increase in the interest rates by the U.S. Federal Reserve Board. The current-account deficit keeps expanding, driven by fast growth in the U.S. that generates demand for imports, relatively slower growth in Europe and Japan that increases demand for...

  • Have Increases in Federal Reserve Transparency Improved Private Sector Interest Rate Forecasts? SWANSON, ERIC T. // Journal of Money, Credit & Banking (Ohio State University Press);Apr2006, Vol. 38 Issue 3, p791 

    Yes. This paper shows that, since the late 1980s, U.S. financial markets and private sector forecasters have become (1) better able to forecast the federal funds rate at horizons out to several months, (2) less surprised by Federal Reserve announcements, (3) more certain of their interest rate...


Read the Article


Sorry, but this item is not currently available from your library.

Try another library?
Sign out of this library

Other Topics