Fed's Hammack Warns of Developing 'Inflationary Mindset'
Federal Reserve Bank of Cleveland President Beth Hammack cautioned that persistent high inflation could lead Americans and businesses to accept rising prices, creating an "inflationary mindset" that would complicate the central bank's efforts to reduce inflation.
Federal Reserve Bank of Cleveland President Beth Hammack said persistently high inflation could lead Americans and businesses to become more accepting of rising prices, forming what she described as an “inflationary mindset” that could make it more difficult for the central bank to bring inflation back.