The recovery remains slow, in part, as a result of the poor condition of household finances, which has stagnated new business formation, Federal Reserve Bank of Boston president and chief executive officer Eric Rosengren said Friday, suggesting the Fed could promote better recovery through stronger growth.

"Given the low inflation rate and weak labor markets that are both likely to persist this year, I believe the Federal Reserve should continue to explore ways to promote more rapid recovery through stronger growth," Rosengren told the Connecticut Business and Industry Association, according to a prepared text of his remarks released by the Fed.

Rosengren suggested the central bank should buy more mortgage-backed securities to spur a more rapid recovery in housing.

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