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By setting 2% as an inflation objective, the Fed is telling people in a generation theyre going to be losing half their purchasing power. Is
By setting 2% as an inflation objective, the Fed is telling people in a generation theyre going to be losing half their purchasing power. Is this correct? Would inflation of 2% per year for 20 years result in purchasing power being cut in half? If not, how many years would it take before his statement would be true?
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