The Phillips Curve Doesn't Work, Former Budget Director Stockman Says

The transcript discusses the Federal Reserve's role in managing inflation and employment, highlighting a conversation between Chairman Powell and AOC about sustainable unemployment rates. It critiques the Fed's monetary policy, emphasizing the global nature of labor markets and the impact of cheap credit on inflation. The discussion also touches on the disparity between Wall Street's growth and Main Street's weak recovery.

What was the main topic of discussion between Chairman Powell and AOC?

• The influence of political decisions on economic policies

• The role of technology in modern banking

• The Fed's estimates of the lowest sustainable unemployment rate

• The impact of global trade on the US economy

What is one of the dual mandates of the Federal Reserve?

• Managing political campaigns

• Regulating international trade

• Ensuring maximum employment

• Controlling technological advancements

Why was the Phillips curve mentioned in the discussion?

• To demonstrate its role in global trade

• To question its relevance in current economic conditions

• To highlight its accuracy in predicting inflation

• To explain its impact on technological growth

What factors are said to determine the wage rate globally?

• The technological advancements in automation

• The China price for goods and the India price for services

• The European Union's economic policies

• The US dollar exchange rate

What has been the effect of monetary policy on Wall Street compared to Main Street?

• Both Wall Street and Main Street have seen equal growth

• Wall Street has declined while Main Street has grown

• Main Street has outperformed Wall Street

• Wall Street has seen a 300% increase, while Main Street has experienced a weak recovery