household

"I think that will help the household income, residents' careers but also children's development," she said.

Middle- and working-class households tend to spend a bigger share of their income on food and utilities than their wealthier counterparts, meaning these price increases hit them harder.

Fed economists believed, and still believe, that the tightening the central bank already has done will yield slower inflation if households and businesses will wait a little longer.

Especially when businesses and households already are chafing under the costs of the transition to date.

Increased bank lending “is going to put an inflationary bias into the economy” by boosting the spending of businesses and households, which in turn will help areas like the housing industry, he said.