The Pandemic and Inflation

Powell: "I don't think it's a failure of imagination on my part, nor do I believe anyone will be surprised that the first topic we turn to is inflation" The pandemic severely disrupted the economy, gave rise to risks of much more dire economic consequences than actually transpired really. And that was thanks in part to the policy response. So there's really a role for both here and the two are tangled up in a way that it's really not easy to disentangle.