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With demand rising less rapidly, inflation posed less of a risk, the minutes said.
Credit is growing too rapidly, inflation is rising and the prices of assets, especially property in places such as Dubai, have exploded.Official price indices almost certainly understate inflation.
Conversely, the Fed may choose to increase the federal funds rate if it predicts that the economy is heating up too much and causing prices to rise too rapidly (inflation).
First, according to research generated last year by economists at the Federal Reserve Board, unemployment would fall rapidly, inflation would rise, and the path for nominal interest rates would leap.
As to how rapidly inflation should be ended, Friedman felt that "for Chile where inflation is raging at 10-20% a month ... gradualism is not feasible.
Similar(55)
And, you really have an inflation-indexed dividend at GE that is growing much more rapidly than inflation.
Public sector salaries have been rising more rapidly than inflation.
With tuition rising more rapidly than inflation or family incomes, student borrowing has been growing.
But the wages for better-paid workers have grown significantly more rapidly than inflation.
Salaries for software engineers are going up rapidly and inflation is high.
If the trade deficit soars, it will put pressure on an already overvalued dollar to fall rapidly, stimulating inflation and higher interest rates.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com