Raghuram Rajan, a Distinguished Service Professor of Finance at the University of Chicago Booth School of Business, former Governor of the Reserve Bank of India, former vice chairman of the Board of the Bank for International Settlements, and former chief economist at the International Monetary Fund, explains why he is concerned about spillover effects on emerging markets from the policies of central banks in industrialized nations, adding that it's appropriate for the Federal Reserve to be raising interest rates now as a precautionary move against the possibility of a "magic moment" when tighter labor markets around the world starts pushing up wages and causes inflation to accelerate.\u0010\u0010Rajan speaks with Bloomberg Global Economics and Policy Editor Kathleen Hays at the Hoover Institution at Stanford University's Monetary Policy Conference on Currencies, Capital, and Central Bank Balances.