Fed Chair Powell Says Our Policy Stance Is 'Just Right'

The transcript discusses the Federal Reserve's current policy stance, focusing on maximum employment, price stability, and financial stability. It highlights the Fed's new monetary policy framework and its impact on economic activity. The discussion also covers potential future policy adjustments, the importance of communication in tapering, and the focus on supporting the economy and job recovery amid the pandemic.

What is the primary focus of the Federal Reserve as mentioned in the first section?

• Reducing interest rates

• Maximum employment and price stability

• Raising margin requirements

• Increasing asset purchases

According to the second section, what is the main factor holding back the economy?

• Lack of policy support from the Fed

• High interest rates

• The pandemic and its effects

• Insufficient asset purchases

What new framework did the Fed adopt to support economic activity?

• Flexible average inflation targeting

• Fixed interest rate policy

• Increased margin requirements

• Zero interest rate policy

What is the Fed's approach to tapering as discussed in the third section?

• No changes planned

• Gradual and well-communicated actions

• Complete halt of all policies

• Immediate and rapid changes

What is the Fed's primary focus according to the third section?

• Supporting the economy and job recovery

• Raising interest rates

• Reducing the balance sheet size

• Exiting current policies