FOMC Majority Shift Away From Inflation Targeting: Posen

The transcript discusses the concept of inflation targeting, highlighting the shift in the FOMC's approach from traditional methods. It explores the debate on whether inflation targeting should be pre-emptive or reactive, and the challenges faced by central banks in managing inflation expectations. The conversation also touches on the impact of oil prices on inflation and the importance of focusing on core inflation rather than transitory factors.

Discuss the relationship between oil prices and core inflation as mentioned in the text.

What challenges do central banks face regarding inflation expectations as highlighted in the conversation?