Mark Thoma on Glenn Rudebusch vs. Raghuram Rajan

Mark Thoma:

http://economistsview.typepad.com/economistsview/2010/06/rudebusch-the-feds-exit-strategy-for-monetary-policy.html: Glenn Rudebusch looks at the Fed's exit strategy for its special liquidity facilities, the lowering of short-term interest rates, and the increase in the Fed's securities holdings. Along the way he tries to dispel worries about the "inflation monster"(see figure 4). The bottom line for interest rates is that "it seems likely that the Fed's exit from the...