Alan Blinder on Fed Tapering: 'So Far, So Good'

The video discusses the potential impact of the Omicron variant on rate hikes, emphasizing the importance of Central Bank communication. It highlights the absence of a taper tantrum and the market's reaction, particularly focusing on the NASDAQ's performance. The discussion concludes with an analysis of inflation expectations and wage settlements in a tight labor market.

What factor does the speaker believe will influence the timing of the Federal Reserve's rate hike?

• The housing market trends

• The unemployment rate

• The Omicron variant's impact on the economy

• The stock market performance

How does the speaker assess the Federal Reserve's communication strategy?

• It has led to a taper tantrum

• It has caused market panic

• It has been ineffective

• It has improved since 2013

What is the speaker's view on the NASDAQ's recent performance?

• It reflects the overall market trend

• It is a sign of economic recovery

• It is isolated from the broader market

• It is unaffected by tech stocks

What are the two main factors the speaker is monitoring regarding inflation?

• Consumer confidence and retail sales

• Government spending and tax rates

• Wage settlements and inflationary expectations

• Interest rates and stock prices

Why are wage settlements currently high, according to the speaker?

• Due to a weak labor market

• Owing to government intervention

• Because of high inflationary expectations

• As a result of a tight labor market