Fed Has Courage to Act on Inflation, Glenn Hubbard Says

The transcript discusses the Federal Reserve's response to inflation, comparing current actions to historical precedents like Paul Volcker's era. It highlights the challenges posed by fiscal policy, market complacency, and potential future rate hikes. The conversation also covers the causes of inflation, the labor market's role, and the Fed's credibility. Finally, it touches on the impact of technology on economic growth and the political challenges in ensuring equitable benefits.

What historical period is considered instructive for today's economic challenges according to the discussion?

• 1995 to 2003

• 1985 to 1993

• 1975 to 1983

• 1965 to 1973

What is the current economic condition described in the discussion?

• Inflationary boom

• Economic recession

• Deflationary spiral

• Stagflation

What is the potential Fed funds rate discussed for the next two years?

• 5%

• 2%

• 3%

• 4%

What is suggested as a necessary approach to address inflation effectively?

• Introducing new fiscal policies

• Increasing government spending

• Returning to basic economic principles

• Reducing interest rates

What is the main concern regarding the Fed's role in addressing economic issues?

• Its lack of transparency

• Its overreach into fiscal policy

• Its focus on unemployment

• Its slow response to inflation

What is a critical social issue related to the labor market discussed in the video?

• Job automation

• Participation rates

• Wage stagnation

• Unemployment rates

What is the main political concern related to technological advancements?

• Decreased productivity

• Economic inequality

• Lack of innovation

• Increased unemployment