FOMC member Plosser's plan for tightening monetary policy would have the Fed dispose of $125B in...

|By:, SA News Editor

FOMC member Plosser's plan for tightening monetary policy would have the Fed dispose of $125B in assets for every 25 basis points increase in the Fed Funds rate, cutting $1.25T from the balance sheet while jacking rates to 2.5% over one year. Plosser doesn't have the "foggiest idea" if his plan will be implemented.