TORONTO - The U.S. economy is growing too fast, and monetary policymakers are likely to continue raising interest rates to keep inflation from accelerating, Federal Reserve Governor Laurence Meyer said Wednesday."Because there are still limits to how fast the economy can grow without further straining labor markets and to how low the unemployment rate can go without triggering higher inflation, there are limits to monetary policy's tolerance for above-trend growth and for further labor market tightening," Mr. Meyer told the Toronto Association for Business and Economics.

By his estimate, the economy has been growing as much as 1 percentage point too fast. The economy accelerated to a 7.3% annual growth rate in the fourth quarter and has expanded at more than 4% a year for the past three years, government figures show.

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