Laffer Calls for Balance Sheet Reduction Over Interest Rate Hikes

Art Laffer, an economist and advisor to former President Ronald Reagan, has spoken out against raising interest rates by the Federal Reserve. Instead, he advocates for shrinking the central bank's balance sheet.

Laffer made his comments in response to the Fed's decision on interest rates. He believes that reducing the balance sheet would help curb inflation without stifling economic growth.

No specific details were provided about Laffer's proposal for shrinking the balance sheet, such as timelines or targets.