Coats Statement on the Fed's Decision to Raise Federal Funds Rate
Joint Economic Committee Chairman Dan Coats (R-Ind.) today issued the following statement regarding the decision by Federal Reserve officials to raise the target federal funds rate by 25 basis points:
"Some will take today's announcement as a sign that our economy is on the right track, but too many Americans are underemployed and economic growth remains modest at best. As Chair Yellen noted earlier this month before the Joint Economic Committee, "Part-time, involuntary unemployment remains too high. Labor force participation is a declining trend.' I share these concerns.
"In order to strengthen our economy, Congress should immediately enact positive, pro-growth policies such as reforming our tax code, removing regulatory burdens and expanding trade."
This is the first time that the federal fund rate has been raised since June 2006. The Fed lowered this rate to near zero in December 2008, where it has remained for the past seven years.