Federal Reserve’s Kocherlakota:

  • Low inflation shows economy is running sub-capacity
  • Says US economy ‘needs more inflation’
Kocherlakota Federal Reserve

Added:

  • Says labor market is very complicated
  • Says part-time worker rate higher than normal
  • 6.2% jobless rate is unacceptably high
  • Says housing has been a disappointment in past year
  • Says interest rates not low enough to spur demand

More:

Says asset purchases on track to end in October