(by Peter Van Bruggen)

Fed Chairman Alan Greenspan and other Fed governors are predicted to lift raise Wednesday meeting within the U.S. economy to be strengthened.

U.S. Federal Reserve policy makers on Wednesday meeting are forecast to raise interest rate by another 0.25 percentage point to 2.00% from the prior 1.75%.

This may be the fourth time for the Federal Open Market Committee to lift rates since June. FOMC upped rates three times for its benchmark rate level to be an outpost economic growth and inflation.

"The reason for raising rates is that there is still an enormous adjustment to be made considering that we have an economy that is approaching its full potential," said economist Richard DeKaser of Cleveland-based National City Corp. "At the same time, inflation is no longer declining and in fact has been rising and, in all likelihood, is back within the Fed’s ’comfort zone’ of 1.5% to 2%."

Greenspan has already warned lawmakers about tax and spending policies that have led to record budget and current account gaps.

Higher oil is expected to be one of the main reasons for lifting rates as higher oil prices may lead to inflation growth.

Another reason for Fed to raise rates during the meeting was an unexpectedly large 337,000 job number.

``It seems clear that the fed funds rate will need to rise as we go forward, but the pace of that increase will need to be closely linked to unfolding events,’’ said Fed official Janet Yellen.