The Central Bank’s growth as well as inflation targets were almost touched by the U.S. economy, report a “top official”, whereby some observers concluded that the said official was probably expecting a further rise in interest rates for the year 2016. Moreover, the Vice Chairman of the US Federal Reserve, Stanley Fischer:
"we are close to our targets".
For Fischer acknowledges that the employment remained "remarkably resilient". He adds:
“Looking ahead, I expect GDP growth to pick up in coming quarters, as investment recovers from a surprisingly weak patch and the drag from past dollar appreciation diminishes."
Fischer addressed the crowd in the conference at Colorado’s Aspen Institute, which dealt with the “world economy” and took place on the 21st of August 2016, whereby Fischer informed that inflation concerning the “personal consumption expenditures”, the yard stick being the “core price deflator”, entered the “hailing distance of rate-setters' 2.0% target”, while the Consumer Price Index stays over two percent.
Moreover, Digitallook informs that as per Fischer:
“...output growth had been ‘much less impressive’... although that pace likely understated the underlying momentum in GDP, in part as a result of the ‘sizeable’ inventory correction which began early last year -despite which GDP growth had been ‘mediocre’”.
Approximately, fifty percent of Fischer’s speech covered the topic of exception slow growth of rate in “labour productivity”, which is becoming a common phenomenon worldwide. Fischer’s description of a “massive” shortfall points out the “rates of productivity growth” between the year of “2006 to 2015 at 1.25%, and between 1949 and 2005, of 2.5%”. According to Fischer, “the key to boosting the long-run potential rate of growth of the US economy likely lay effective fiscal and regulatory policies”.
Interestingly, Fischer’s views are considered similar to that of Janet Yellen, Chairperson of Fed.
References:
http://www.digitallook.com/
"we are close to our targets".
For Fischer acknowledges that the employment remained "remarkably resilient". He adds:
“Looking ahead, I expect GDP growth to pick up in coming quarters, as investment recovers from a surprisingly weak patch and the drag from past dollar appreciation diminishes."
Fischer addressed the crowd in the conference at Colorado’s Aspen Institute, which dealt with the “world economy” and took place on the 21st of August 2016, whereby Fischer informed that inflation concerning the “personal consumption expenditures”, the yard stick being the “core price deflator”, entered the “hailing distance of rate-setters' 2.0% target”, while the Consumer Price Index stays over two percent.
Moreover, Digitallook informs that as per Fischer:
“...output growth had been ‘much less impressive’... although that pace likely understated the underlying momentum in GDP, in part as a result of the ‘sizeable’ inventory correction which began early last year -despite which GDP growth had been ‘mediocre’”.
Approximately, fifty percent of Fischer’s speech covered the topic of exception slow growth of rate in “labour productivity”, which is becoming a common phenomenon worldwide. Fischer’s description of a “massive” shortfall points out the “rates of productivity growth” between the year of “2006 to 2015 at 1.25%, and between 1949 and 2005, of 2.5%”. According to Fischer, “the key to boosting the long-run potential rate of growth of the US economy likely lay effective fiscal and regulatory policies”.
Interestingly, Fischer’s views are considered similar to that of Janet Yellen, Chairperson of Fed.
References:
http://www.digitallook.com/