The Perils of Fed Gradualism

Stephen Roach pens an article on Project Syndicate outlining the Monster that the Fed has created - financial markets.  He does on to discuss what the Fed should do to address overheated financial markets:

Only by shortening the normalization timeline can the Fed hope to reduce the build-up of systemic risks. The sooner the Fed takes on the markets, the less likely the markets will be to take on the economy. Yes, a steeper normalization path would produce an outcry. But that would be far preferable to another devastating crisis.

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