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Daily Archives: September 18, 2013

Asked & Answered: Zero Inflation?

Asked & AnsweredBy Friedenthal FinancialSeptember 18, 2013

9/18/2013   Douglas from Detroit, MI:   Why does the Federal Reserve target 2% inflation?  Why not target zero inflation?   Friedenthal Financial:   Douglas,   That’s a great question, without a purely objective and scientific answer.  However, the most elegant explanation of which we are aware is as follows.   Historical evidence suggests that…

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