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Economics, politics and the federal funds markets: does the Fed play politics?

机译:经济,政治和联邦基金市场:美联储扮演政治角色吗?

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No, the Fed does not appear to play politics with respect to setting the federal funds rate. We examine the federal funds spot and futures rates to infer the Fed's response to political pressure from partisan politics during election and nonelection years. We find little evidence that political variables influence either market, suggesting that spot and futures traders act as if the Fed's behaviour is similar across election and nonelection years. Our evidence suggests that federal funds traders believe the Fed generally behaves in a politically neutral fashion.
机译:不,美联储在设定联邦基金利率方面似乎没有发挥政治作用。我们研究了联邦基金的即期和期货利率,以推断美联储在大选和非大选期间对党派政治施加的政治压力的反应。我们几乎没有证据表明政治变量会影响这两个市场,这表明现货和期货交易者的行为就像在选举年和非选举年中美联储的行为相似。我们的证据表明,联邦基金交易员认为美联储通常在政治上保持中立。

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