Federal Reserve Governor Frederic S. Mishkin Recent Speech's

Does Stabilizing Inflation Contribute to Stabilizing Economic Activity?

The ultimate purpose of a central bank should be to promote the public good through policies that foster economic prosperity. Research in monetary economics describes this purpose by specifying monetary policy objectives in terms of stabilizing both inflation and economic activity. Indeed, this specification of monetary policy objectives is exactly what is suggested by the dual mandate that the Congress has given to the Federal Reserve to promote both price stability and maximum employment.1 Read full article...