But raising interest rates is not the only way. The fed could just taper the balance sheet by selling off MBSes and long term Treasury bonds. This will only ra

But raising interest rates is not the only way. The fed could just taper the balance sheet by selling off MBSes and long term Treasury bonds. This will only raise long term rates while simultaneously reducing liquidity. We don't need unemployment to reduce liquidity when the balance sheet has so much to sell.