Daly: Higher Inflation Could be Good Thing

The President of San Francisco Federal Reserve, Mary Daly, said that the US labor market is in better shape she previously thought it might be, “but it’s nowhere close to where we need to be.”

“I am assuming that we’ll level off at some level that’s not where we want to be,” Daly added during an event sponsored by the National Association of Business Economists, according to Reuters.

Many Fed members clearly view the current unemployment rate at 11.1% as higher than it could be.

In addition, Daly said that a higher inflation rate could be a good thing, as cited by MarketWatch.