Reply #10: This is also in the report.... [View All]

Fed officials have signaled that they will keep short-term rates at just 1 percent and repeat their cautious economic outlook because they remain worried about the slow pace of job growth and the risk of a deflationary price spiral.

Laurence H. Meyer, an economist and a former Fed governor, estimates that the combination of tax cuts and bigger government spending, mostly for the military, essentially doubled the pace of economic growth in the third quarter, to 6 percent from 3 percent. But Mr. Meyer said that that effect is already wearing off and that the fiscal policy will actually become a drag on growth by the end of next year.

Edited to add the "missing" link:

http://www.nytimes.com/2003/10/27/business/27WAGE.html