The following commentary comes from an independent investor or market observer as part of TheStreet's guest contributor program, which is separate from the company's news coverage.NEW YORK ( TheStreet) -- We are all aware that the Fed has a dual mandate of stable prices and maximum employment. But what may come as a surprise to most is that they have a distinct preference in their mandates. The Federal Reserve under Ben Bernanke has a clear bias toward fulfilling the goal of maximum employment. Given high unemployment and relatively stable prices, the Fed has opted to pursue a policy of pursuing higher inflation in the hopes of engendering lower unemployment rates.
|Federal Reserve Chairman Ben Bernanke|