Legendary Fed Chairman Paul Volcker was highly critical of the Fed’s policy of targeting 2% inflation, saying he saw “no theoretical justification” for it and that if successful, it “would mean the price level doubles in little more than a generation.” In this EXTRA exclusive, Former Fed Vice Chair Richard Clarida defends the 2% solution.
Listen to the audio-only version here:
- Vice Chairman Federal Reserve, 2018-2022
- Global Economic Advisor, PIMCO
- C. Lowell Harriss Professor of Economics & International Affairs, Columbia University
|ON TV THIS WEEK:|
|As part of our ongoing “don’t fight the Fed” theme, we are revisiting a recent invaluable interview with former Vice Chairman of the Federal Reserve, Richard Clarida, who emphasizes the importance of the central bank’s strong commitment to reducing inflation to 2%. Watch it again here.|