Tom Keene Talks to Goldman's Jan Hatzius
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What are you most focused on in our budget deficit?
We need a comprehensive plan. Eventually we will get a substantial amount of fiscal retrenchment. That is going to have serious implications for growth and interest rates.
Where do the food and gasoline price increases end? Do they filter down into core inflation?
I would say that so far we don't have any signs that there is a big increase in inflation expectations. They still look very anchored. But it is definitely something to monitor.
