Can the Fed Make Up Its Mind on QE?
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June 6 (Bloomberg) -- When the Federal Reserve firstintroduced its either/or stance on quantitative easing, I wasn’tsure if it was a PR ploy or a serious plan.
Specifically, the Fed said it was prepared to increase orreduce the current $85 billion-a-month pace of long-term assetpurchases based on certain economic criteria. If the outlook forthe labor market deteriorates, for example, the Fed might up theante. Should hiring increase and inflation remain subdued, theFed could taper its buying.