a: Tapering ~
b: easing up on the gas pedal
What:
"Tapering is like easing up on the gas pedal, so that the car accelerates at a slower pace. The more important phase of monetary policy will be tightening, which is akin to stepping on the brakes. Janet Yellen-the current favorite to succeed Bernanke-has the reputation of being a "dove," which means that she would likely be less aggressive when it comes to tightening than others, since she firmly believes that monetary policy has the ability to "stimulate" the economy. "
Useful?
Writer: Scott Grannis
LCC:
Where:
Date: May 14 2014 9:42 AM
# 5703 Critique Analogy