Kohn, Donald L. - In: Conference Series ; [Proceedings] 51 (2006)
fluctuate against each other over time, each country’s central bank determines its inflation rate. If the FOMC were to allow the … U.S. economy to run beyond its sustainable potential for some time, inflation would eventually rise. And, this pickup … would become self-perpetuating if it became embedded in inflation expectations. Thus, while a better understanding of the …