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Kocherlakota Says Public Needs Guidance on U.S. Debt Solution

Federal Reserve Bank of Minneapolis President Narayana Kocherlakota said controlling the national debt in the long term will probably involve reductions in some benefits for older Americans as well as tax increases.

“It doesn’t have to be fixed today,” Kocherlakota said in response to a question from the audience after giving a speech today in Grand Forks, North Dakota. “At the same time, offering guidance to the public of the mix of tools that are going to be used to address this problem is going to be helpful.”

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