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Ex-NY Fed Chief Dudley Predicts Interest Rates Going Much Higher Than Expected


Ex-NY Fed Chief Dudley Predicts Interest Rates Going Much Higher Than Expected
10 May 2021
The Federal Reserve will likely raise interest rates much higher than markets currently anticipate, former New York Fed President William Dudley writes in a Bloomberg op-ed published Monday.
“Not only will the Fed have to raise rates, but rates are likely to go much higher than investors anticipate,” Dudley, now a senior research scholar at Princeton University’s Center for Economic Policy Studies, predicts.
Many Fed officials, most prominently Fed chair Jerome Powell, insist that the central bank will keep rates low for a long-time. Markets appear to have confidence in this position, in part because Fed officials have said they will tolerate periods of above-target inflation on the path to bringing the long-run average of inflation to two percent after years of undershooting. ....

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Policy Proposal to Boost Economic Growth Includes Online Capital Formation, Digital Assets and More


Policy Proposal to Boost Economic Growth Includes Online Capital Formation, Digital Assets and More
Earlier this year,
Senator Pat Toomey, the ranking member of the
Senate Banking Committee, issued a call for policy proposals that could boost economic growth. Key policy moves designed to generate more jobs and improve prosperity are always needed – even more so on the heels of a health crisis.
One of the submissions forwarded to the Committee came from two economic policy experts,
Norbert Michel. Burton is Senior Fellow in Economic Policy, Roe Institute for Economic Policy Studies, Institute for Economic Freedom and Opportunity, at The Heritage Foundation. Michel is Director, Center for Data Analysis, at The Heritage Foundation. ....

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