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Joseph Wang & William White: Mammoth Interest Rate Hikes Are Causing Trouble In Sovereign Debt
Forward Guidance
Is There a Need for Restraint in the Financial Sector?
Sally Kohn: The real worry is that if you get a big supply side shock or a series of shots, and they all sort of want successively to move the price level higher, the need for restraint could be very, very significant. It'll deal with the inflation problem, all right, but it may be even bigger problems, the deflation and depression in turn. So there's some huge challenges out there. And I'm not sure that all of them can be met just by tighter monetary policy.
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