Excerpt from Conduct of Monetary Policy; Report of the Federal Reserve Board Pursuant to the Full Employment and Balanced Growth Act of 1978, P. L. 95-523 and the State of the Economy: Hearing Before the Subcommittee on Domestic and International Monetary Policy of the Committee on Banking and Financial Services, House of Representatives, One Hundred Fourth Congress, First Session, July 19, 1995 Chairman castle. Thank you very much, Mr. Chairman. With out objection, your full transcript will be included for the record. We appreciate that. We know those words are meaningful, and when spoken by you they come together very neatly. We will now proceed with questioning. We will resume the clocks. Each of us will have 5 minutes. The general rules are that you can say what you wish in those 5 minutes, at which point we are quiet, and if you still need to respond, you can, or we go on to the next person. I will start with the first question. I want to relate back to when you were here last February. You painted a picture of an economy whose growth was slowing from the fast pace of the fourth quarter of 1994, but you reassured us that nevertheless, the economy has continued to ow without seeming to develop the types of imbalances that in t e past have undermined ongoing expansion. About the Publisher Forgotten Books publishes hundreds of thousands of rare and classic books. Find more at www.forgottenbooks.com This book is a reproduction of an important historical work. Forgotten Books uses state-of-the-art technology to digitally reconstruct the work, preserving the original format whilst repairing imperfections present in the aged copy. In rare cases, an imperfection in the original, such as a blemish or missing page, may be replicated in our edition. We do, however, repair the vast majority of imperfections successfully; any imperfections that remain are intentionally left to preserve the state of such historical works.