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Home Publications Reports The Federal Reserve Must Counteract Asset Bubbles

The Federal Reserve Must Counteract Asset Bubbles

November 2009, Dean Baker, Jane D'Arista, and Gerald Epstein

The Federal Reserve Board’s main job is to use its monetary policy tools to stabilize the U.S. macro-economy. To this end, it must take responsibility for recognizing and counteracting asset bubbles before they grow large enough to pose a danger.

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