LYNCHBURG, Va., June 26 U.S. healthcare costs
are a growing issue for businesses across the country, with the
Federal Reserve keeping close tabs on the issue, a top Fed
official said on Thursday.
Speaking in a question and answer session after a speech to
business leaders in Lynchburg, Virginia, Richmond Federal
Reserve Bank President Jeffrey Lacker said that healthcare costs
are a growing concern.
"A lot of small businesses have been spending an inordinate
amount of time trying to figure (out) a strategy for provisions
that took effect at the beginning of this year," Lacker said.
Lacker also said he supported maintaining interest rates at
current levels, though he added that it would be a mistake to
let inflation get out of control before raising rates.
(Reporting by Michael Flaherty; Editing by Paul Simao)