Skip to main content

Vol. 75, No. 3
Posted 1993-05-01

The FOMC in 1992: A Monetary Conundrum

by Joseph Ritter

The Federal Open Market Committee (FOMC) holds the primary responsibility for monetary policy. This article argues that in 1992, mixed signals sent by M1, which grew rapidly, and M2, which grew slowly, were the source of an important tension in monetary policymaking. In this article, Joseph Ritter surveys hypotheses about the causes of slow M2 growth and concludes that although the FOMC found none of them wholly persuasive, the Committee gave less weight to movements in this aggregate than in recent years.

Related Content

Subscribe to our newsletter

Follow us

Twitter logo Google Plus logo Facebook logo YouTube logo LinkedIn logo
Back to Top