Trump's tariffs could present a potential conflict between its mandate to keep prices stable and promote full employment.
the Fed’s caution is Trump’s own tariff agenda, which is highly likely to generate at least a temporary rise in inflatio...
Tariffs could lead to inflation, economic slowdown.
These are very fundamental policy changes.
The level of the tariff increases announced so far is significantly larger than anticipated.
we would consider how far the economy is from each goal
The same is likely to be true of the economic effects, which will include higher inflation and slower growth.
For the time being, we are well positioned to wait for greater clarity.
There isn’t a modern experience of how to think about this.
Unemployment is likely to go up as the economy slows.
We understand that elevated levels of unemployment or inflation can be damaging and painful for communities, families, a...