Esther George, President of the Federal Reserve branch in Kansas City speaking on her outlook for the US economy.
- With US economy at or beyond full employment, arrival of fiscal stimulus makes more rate hikes important
- says three hikes this year and next would be reasonable unless economic outlook changes
- higher wages a welcome development
- tight job market may oush inflation higher
George making sense ... There will be a lot squirming uncomfortably in the seats at the Federal Open Market Committee with big fiscal stimulus hitting after 9 years of economic expansion.
Counter-cyclical policy ... yer doin' it wrong ...
