Minneapolis Fed's Narayana Kocherlakota, presumed to be uncomfortable with the direction of...
Minneapolis Fed's Narayana Kocherlakota, presumed to be uncomfortable with the direction of current central bank policy, defends the recent QE decision. The creation of more reserves through bond purchases won’t be “kindling for some future inflationary fire,” he says, because banks already have some $1T in excess reserves. Kocherlakota will have a voting role on the FOMC next year.
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