Chapter
The Federal Reserve's Efforts to Control Inflation
00:00 - 05:47 (05:47)
The Federal Reserve is attempting to raise interest rates to control inflation and prevent it from becoming a permanent feature of the economy, as it could change consumer behavior in a self-fulfilling way. Fed Chair Jay Powell and his colleagues are working to communicate this message to the public and prevent panic.
Clips
The Federal Reserve is working to bring inflation under control by raising interest rates to slow down consumer demand, as if consumers become convinced that price increases are going to be a permanent feature they may change their behavior, causing a self-fulfilling prophecy that could lead to economic problems.
00:00 - 03:26 (03:26)
Summary
The Federal Reserve is working to bring inflation under control by raising interest rates to slow down consumer demand, as if consumers become convinced that price increases are going to be a permanent feature they may change their behavior, causing a self-fulfilling prophecy that could lead to economic problems.
ChapterThe Federal Reserve's Efforts to Control Inflation
EpisodeHow Expecting Inflation Can Actually Create More Inflation
PodcastThe Daily
The Federal Reserve is trying to prepare investors for the possibility of high inflation without causing them to make long-term behavior changes based on temporary issues.
03:26 - 05:47 (02:21)
Summary
The Federal Reserve is trying to prepare investors for the possibility of high inflation without causing them to make long-term behavior changes based on temporary issues. The hope is that people will recognize the current pain is short-term, and things will return to a more stable state in the long term.