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Such an "immaculate disinflation" has never happened before, economists say.

Can the Federal Reserve keep raising interest rates and defeat the nation’s worst bout of inflation in 40 years without causing a recession? Not according to a new research paper that concludes that such an “immaculate disinflation” has never happened before. The paper was produced by a group of leading economists, and two Fed officials addressed its conclusions in their own remarks Friday. When inflation soars, as it has for the past two years, the Fed typically responds by raising interest rates, often aggressively, to try to cool the economy and slow price increases. The Fed’s highe...

Soaring inflation can force companies to cut jobs and cause the public to reduce spending. It's a recipe for recession.

When inflation begins to rise, the Fed responds by raising interest rates. Over the past year, they have aggressively raised rates.

Can the Federal Reserve keep raising interest rates and defeat the nation’s worst bout of inflation in 40 years without causing a recession?