CHATHAM, Mass. — Persistent oil price shocks can shake inflation expectations and have already pressured the unemployment and inflation rates, and there is no automatic interest rate formula the Federal Reserve can use to replace continuous Federal Open Market Committee vigilance, Fed vice chairman Donald Kohn said yesterday.

Using the Fed’s preferred inflation measure, that of personal consumption expenditures, Kohn said that measured inflation “should be gauged by the rate of change in a broad set of prices.”

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