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GDN eNews - August 14, 2020

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Federal Reserve Mandate Could Provide a Down Payment To Ending Racial Inequality

 

Under proposals put forward by Democrats in Congress, the mandate of the Fed would be tweaked for the first time since 1977, when its objectives were made explicit: promote maximum employment, stable prices and moderate long-term interest rates. Under the new proposals, the central bank would gain an additional task of reducing racial inequality. In short, the central bank could be handed the pie cutter and told to make sure everyone gets a fair share.

 

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