The Fed is worried about PCE Core Services ex-Housing (CSXHP) because it sees this category as the least likely to see disinflationary progress owing to wage pressures. However—as we have pointed out—CSXHP is composed of a number of components...
The following was originally presented as “Towards Macroprudential Fiscal Policy” at the Coordinating the Supply Side: Creating a Systemic Industrial Policy for the 21st Century conference put on by the Berggruen Institute in December 2022. In light of recent discussion about the scope, aims, and variety embedded in industrial policy,
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