Inflation Lessons From the 1970s
The Daily16 Maalis 2022

Inflation Lessons From the 1970s

With prices on the rise in the U.S. economy, the Federal Reserve is expected to announce on Wednesday an increase in interest rates, essentially pouring a cold glass of water on the economy.

Why would the central bank do that? The answer lies in the inflation crisis of the 1970s, when a failure to react quickly enough still looms large in the memory.

Guest: Jeanna Smialek, a reporter covering the Federal Reserve and the economy for The New York Times.

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Background reading:

  • The Federal Reserve is facing the fastest inflation most Americans have ever seen. The response may require some aggressive — and painful — measures.
  • What is inflation, why is it up, and whom does it hurt? Here’s what to know.

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