What annual inflation rate do fed officials consider a healthy level for spending business investment and higher wages

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Business

Tristian Dillon

3 December, 10:03

What annual inflation rate do fed officials consider a healthy level for spending business investment and higher wages

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Lorena Wheeler · Answer 1

A healthy inflation rate that federal officials for spending business investment and higher wages is 2%. 2% is the most consistent value over the years. If there is a drop it is considered possible drop to deflation. Increase will make long-term decisions questionable.