Fed's Powell Says Longer-Term Fiscal Path Isn't Sustainable

The video discusses the importance and power of fiscal policy, highlighting its role in supporting demand in the short term while acknowledging long-term sustainability challenges. It emphasizes the need to address fiscal issues during favorable economic cycles to maintain fiscal space for future actions.

What are the implications of the current fiscal policy on demand in the short term?

What factors might affect the supply side effects of fiscal policy?

Discuss the long-term sustainability of the fiscal path mentioned in the text.

How does the text suggest the United States can still utilize fiscal policy despite long-term challenges?

What is meant by 'putting our fiscal house in order' as mentioned in the text?