Central Banks Are Keeping Inflation Low and Stable

Job number one for central banks is keep inflation low and stable, right? Absolutely. And that's a hard job to do because it is an unpopular job. It involves raising interest rates, slowing aggregate demand or cooling the labor market. But I think central banks have done remarkably well in their communication efforts over the last 50 years. They've become much more attuned and understand that communication is key," he says.