February 23, 2023
(Financial Review) - The Federal Reserve won’t be able to get US inflation down to its 2 per cent target without “crushing the economy”, economist Mohamed El-Erian warned, but he said the central bank is unlikely to officially change that goal post.
“You need a higher stable inflation rate. Call it 3 to 4 per cent,” El-Erian, the chairman of Gramercy Funds, told Bloomberg Television. “I don’t think they can get CPI to 2 per cent without crushing the economy.
By Victoria Cavaliere
February 18, 2023
