3min chapter

GZERO World with Ian Bremmer cover image

Inflation Nations: What to know about inflation and interest rates

GZERO World with Ian Bremmer

CHAPTER

The Fed's Incremental Rate Hikes

The Fed has two mandates: full employment and stable pricing. They want to average inflation that's not too much beyond 2% over the course of a cycle. So they are raising interest rates in order to bring that about. But if we were to see the unemployment rate move higher during the course of the year, we think that we will. That should also help bring about lower inflation.

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