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The Federal Reserve Needs To Be Patient

The Federal Reserve has adopted a new stance on monetary policy: patience. With the federal funds rate at the zero lower bound since 2006, the Fed's policy-setting committee, the FOMC, has delicately approached the idea of beginning to raise rates. Beginning in 2012, the Fed assured the markets that there would be a considerable time period of highly accommodative monetary policy to bolster the economy's progression to the Fed's dual mandate of maximum employment and stable…