And on the basis of the information provided by the FOMC, of their understanding of the historical record of Fed policy decisions, and of their analysis and expectations of the state of the economy and, particularly, the financial markets, market participants will make the best decisions they can. References Ahmed, Shaghil, and Andrei Zlate (2014).
“Capital Flows to Emerging Market Economies: A Brave New World?” Journal of International Money and Finance, vol. 48 (November), pp. 221–48. Bank of Canada, Bank of England, Board of Governors of the Federal Reserve System, European Central Bank, Sveriges Riksbank, and Swiss National Bank (2008). “FOMC Statement: Federal Reserve and Other Central Banks Announce Reductions in Policy Interest Rates,” press release, October 8.