The following appears in the Federal Reserve's policy committee statement following the late July meetings:
Inflation between one and two years ahead is projected to be no more than a half percentage point above the committee's 2% longer-run goal. ...The fact that today's Fed is actually espousing inflation is truly scary. Their traditional role is that of inflation fighter, not inflation enabler. Worse, the inflation measure used is significantly biased to the downside. The accompanying table shows the impact of various levels of inflation over 10- and 20-year periods.