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Can the Fed take credit for declining inflation?

The Flip Side

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Navigating the Complexities of High Inflation and Monetary Policy

The chapter delves into the current state of the economy with elevated asset prices and the macro perspective resembling a Goldilocks scenario. It explores factors influencing inflation, the importance of tracking inflation expectations, and the Federal Reserve's actions to control inflation through interest rate adjustments. Discussions also touch on the impact of various factors on the labor market and inflation in the US, assessing the effectiveness of monetary policy and analyzing the lingering high inflation post-COVID.

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