In a survey, 77% believe that US monetary policy is too stimulating – 03/21/2022

A study conducted by the National Business Economics Association (NABE) in the United States shows that a record 77% of respondents believe current monetary policy is too stimulating, the highest figure since the survey began in 1995. Is. Meanwhile, half-ears believe fiscal policy is too broad. At the same time, only 9% of respondents expect the Federal Reserve’s interest rate target to rise to 3% by the end of 2023, and 17% expect to achieve 3% by the end of 2024.

More than three out of four (78%) of the respondents expect inflation in the country to remain above 3% by the end of 2023.

When asked what can be done to reduce high gasoline prices, 31% recommend releasing oil from strategic reserves and almost a quarter (24%) believe no response is needed.

The crisis between Russia and Ukraine is seen as a negative blow to the global economy, with 47% of respondents indicating that GDP growth will shrink by more than 0.5% this year. More than three-quarters (78%) of survey respondents expect supply chain bottlenecks to worsen due to conflict.

Regarding the pandemic, nearly 80% of respondents believe that the reduction in immigration during this period restricted economic activity and contributed to wage pressures.

The March 2022 NABE Economic Policy Survey summarizes responses from 234 association members. Conducted every six months, the survey was implemented between March 1 and March 8.