Reported 11 days ago
Nick Timiraos from the Wall Street Journal discusses the Federal Reserve's concept of the neutral interest rate, which is crucial for maintaining low inflation and maximum employment. He describes this rate as a 'nirvana-like scenario' that helps the Fed decide between stimulating or slowing down the economy, a practice that has evolved significantly since Janet Yellen's tenure as chair. However, Timiraos points out that current uncertainties from potential Trump administration policies complicate this assessment.
Source: YAHOO