U.S. Growth Likely to Slow in 2019, Says Fed's Bullard

The video discusses the current state of the US economy, focusing on inflation, wage growth, and the bond market. It highlights the challenges in predicting wage growth using the Phillips Curve and examines the implications of the yield curve and Fed policies. The impact of the US-China trade war on economic growth and recession risks is also analyzed. The video concludes with a discussion on interest rates and the economic outlook, emphasizing the need for adaptive policy responses.

What is the main reason for the sluggish wage growth despite low unemployment in the US?

• High inflation rates

• Increased labor productivity

• Unreliable Phillips Curve

• Strong economic growth

What does a steepened yield curve indicate about the economy?

• Higher risk of recession

• Increased inflation pressure

• Lower chance of inversion

• Decreased bond market activity

How significant are the macroeconomic effects of tariffs according to the transcript?

• Very significant

• Slightly significant

• Moderately significant

• Insignificant

What is the potential benefit of the trade war with China mentioned in the transcript?

• Boosting US economic growth

• Allowing the Fed to manage the economy without overheating

• Increasing US exports

• Strengthening the US dollar

What is the current stance of the Federal Reserve on interest rates according to the transcript?

• Rates are too low

• Rates are too high

• Rates are close to neutral

• Rates are far from neutral

What is the consensus among FOMC members regarding rate hikes for the current year?

• Two rate hikes

• Three rate hikes

• Four rate hikes

• No rate hikes

What is the main point of division among Fed members for 2019?

• The level of inflation

• The number of rate hikes

• The growth of the bond market

• The unemployment rate