Inflation, Explained
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The Federal Reserve
After world war two, congress decided to focus on creating policies that would, in theory, keep unemployment low. This became the basis of what's known as the dual mandate for the federal reserve. The fed is supposed to be attentive to both inflation and employment. They control the monetary supply by buying assets like commercial bonds. When the fed buys assets, it creates added demand, and that increas the money supply.
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