Federal Reserve Building, Washington, D.C.

Jason Furman (PIIE)

The Federal Reserve should recalibrate US monetary policy towards a less expansionary approach in light of improving economic conditions. In a comprehensive analysis of recent trends in inflation, unemployment, and interest rates, Jason Furman argues the Fed has the right framework but needs to update its implementation, including rethinking its bond-buying program and setting the default of raising interest rates in the first half of 2022.

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Photo Credit: 
PIIE/Jeremey Tripp

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