Dual Mandate

Every August since 1982, the Kansas City Branch of the Federal Reserve System hosts an event in Jackson Hole, Wyoming.  It’s like an economic summer camp, although they probably forego the sticky fingers that come with s’mores.  The idea is to foster open discussions about the economy, exchanging ideas and probably a few barbs.  Typically, the event centers around a s

The Federal Reserve heavily influences the American economy.  Every six weeks the Federal Open Market Committee (FOMC) gathers to determine the correct course for monetary policy; they do this by setting the Fed Funds Rate (the amount charged for overnight loans between banks).  In short, they are trying to strike a balance between controlling inflation and supporting the labor market