The Secular Stagnation Bug is Spreading at the Fed
Speaking of secular stagnation, it appears to be catching on at the Fed. Here is CNBC’s Alex Rosenberg:
Is there something seriously wrong with the economy?
It’s a scary prospect, and a concern that’s gotten louder and louder over the past year. In economic circles, it goes by the alliterative name of “secular stagnation.” And it’s a phrase that Fed watchers are likely to hear more and more in the months ahead.
Recent comments by the vice chairman of the Federal Reserve, Stanley Fischer, indicate questions within the central bank about whether the slow growth that has followed the recent recession could reflect, or at least could potentially morph into, longer-term issues within the economy. And while Fischer avoided the phrase “secular stagnation” in his Monday speech, Minneapolis Fed President Narayana Kocherlakota is planning to host a November symposium that directly addresses the issue of secular stagnation by name, CNBC has learned.
Source: http://macromarketmusings.blogspot.com/2014/08/the-secular-stagnation-bug-is-spreading.html
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