The Federal Reserve should consider further accommodation if the benefits outweigh the costs, Federal Reserve Bank of New York president William Dudley said Friday.

"Because the outlook for unemployment is unacceptably high relative to our dual mandate and the outlook for inflation is moderate, I believe it is also appropriate to continue to evaluate whether we could provide additional accommodation in a manner that produces more benefits than costs, regardless of whether action in housing is undertaken or not," he told the New Jersey Bankers Association Economic Forum, according to a prepared text released by the Fed.

"Monetary policy and housing policy are much more complements than substitutes," Dudley said.

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