August 20 · Published September 27, 1996

Statement·Presser·Minutes

August 20, 1996 FOMC Minutes

Vote

• Boehne
• Alan Greenspan
• Jerry L. Jordan
• Edward W. Kelley, Jr.
• Lawrence B. Lindsey
• William J. McDonough
• Robert D. McTeer, Jr.
• Laurence H. Meyer
• Susan M. Phillips
• Alice M. Rivlin
• Stern ↑ dissented
  • He believed that policy should become modestly more restrictive. He was concerned that, in the absence of a substantial and sustained improvement in productivity, the prevailing pattern of demand might engender an increase in inflationary pressures, and that such pressures would ultimately threaten the ongoing economic expansion. In Mr. Stern's judgment, it was prudent at this point to resist such a development in order to lay a foundation for the long-term health of the economy.
• Janet L. Yellen

From the minutes

Read the full minutes

What changed from the previous meeting’s minutes

• The FOMC noted the unemployment rate rose to 5.4 percent in July from 5.6 percent in May.
• The directive's bias toward firming was retained, with all but one member supporting it.
• Mr. Stern again dissented, favoring a modestly more restrictive policy.
• The FOMC observed wage increases were becoming more evident and compensation had edged up.
• The 1997 provisional ranges for M2, M3, and debt were unchanged from 1996.

Summary generated automatically from the two documents.

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