NPR presented an interview with Wall Street Journal reporter David Wessel this morning in which he asserted that controlling inflation is the Fed's charge. This is not true. The law says that the Fed is obligated to run its monetary policy in order to promote price stability and high levels of employment, and specifically sets 4.0 percent as a target unemployment rate. Many economists would like to ignore the second goal, but that is not the law.
--Dean Baker
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