Fed’s Mester: U.S. Needs More Fiscal Policy, Not Monetary

The transcript discusses the economic momentum gained during the summer and the concerns about deceleration due to the lack of fiscal policy. It highlights the roles of monetary and fiscal policies in economic recovery, emphasizing the need for fiscal response to support small businesses and households. The discussion also covers the challenges faced by small businesses during the pandemic, the effectiveness of monetary policy tools, and the current state of financial stability and credit in the economy.

How has the pandemic affected small business owners and their decisions regarding operations?

In what ways can monetary policy and fiscal policy work together to support economic recovery?

What are the potential risks to the financial system as the economy continues to recover?

What actions were taken to ensure that banks could continue lending during the pandemic?