, Columnist
Who Says the Fed Can Only Fix One Problem at a Time?
The central bank can calm the turmoil in the banking sector without giving up on its monetary policy goals.
It can fix two problems at once.
Photographer: Al Drago/BloombergThis article is for subscribers only.
This is Bloomberg Opinion Today, an early-spring picnic basket of Bloomberg Opinion’s opinions. Sign up here .
With critics of the US Federal Reserve blaming its interest-rate increases for the banking crisis, the central bank is coming under increasing pressure to sacrifice its monetary-policy goals at the altar of financial stability. But this is a false choice, writes Bill Dudley, arguing the Fed can and should fight inflation and contagion at the same time.