Carola Binder on the Importance of Inflation Expectations and How Policymakers Should Respond
Macro Musings with David Beckworth
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Is the Fed Responding to Supply Stolen Oil Prices?
The finding is that philip's curve thinking was diminishing intereife, its entersening inflation. If the fed is aiming to stabilize inflation, and that includes no forecast of inflation, whenever there is a potential shock that could ow inflation off, the fed's going to come in and respond to that. And then i can see it adding some volatility, like even in the markets. if markets know that the fat is planning to ond to consumer surveys, and the consumer surveys are responding to the oil prices,. then the markets are going to respond to the oil price and the consumer survey.
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