Inflation Solution: Will the Fed Cage Hawks?

When the Federal Reserve’s monetary policy committee meets this week, the debate over the future course of policy is likely to be heated. The recent news that the labor market is doing better along with other positive indicators for the economy will cause the inflation hawks on the committee to push even harder than they have to date for immediate interest rate increases. But the doves on the committee are not convinced we are free and clear of troubles. They are much less worried about inflation than the hawks and they will not be ready to ease up on the measures the Fed has put into place just yet. Some would like to provide even more help for the economy.