Speech

A report on the Texas economy and a hawk(s)eye view on recent Fed pronouncements: what does it all mean?

Abstract: Remarks before the Headliners Club, Austin, TX, February 2, 2012 ; \"Explicitly acknowledging that monetary policy?s impact on employment is transitory and uncertain is a cardinal event. It signals to the markets that there are limits to the ultimate job-stoking efficacy of Federal Reserve policy. To the extent that inflation is running below 2 percent, the Federal Reserve may have somewhat greater latitude to pursue accommodation. However, the past few years have demonstrated, yet again, that allowing inflation to rise by no means guarantees faster job growth.\"

Keywords: Economic conditions; Labor market; Federal Open Market Committee;

Bibliographic Information

Provider: Federal Reserve Bank of Dallas

Part of Series: Speeches and Essays

Publication Date: 2012

Number: 102