Fed's choice to hold steady on monetary policy "right decision," says Justin Wolfers
After months of debate over a potential taper, Chairman Bernanke announced that the Fed will hold off tightening the quantitative easing policies enacted after the Great Recession.
A Washington Times article quoted Ford School economist Justin Wolfers following the Fed's announcement. Wolfers called it the "right decision," as the economic recovery is not stable enough for the Fed to withdraw support.
The "taper talk" this summer resulted in a sharp rise in long-term interest and mortgage rates—here and abroad—which experts noted could inhibit economic growth.