Swiss Economicblogs.org
Analysis of the ‘neutral’ rate of interest suggests there is considerable market complacency surrounding the potential for further hikes in the Fed funds rate.Janet Yellen refers regularly to the concept of ‘neutral’ interest rate as a reference point for monetary policy. The neutral rate is very helpful in determining whether the Fed’s monetary stance is relaxed or restrictive and can also provide insight into the Fed’s next possible moves.The financial crisis has had a considerable impact...
Read More »Fed funds rate back to 3%?
