Fed's Rosengren Says U.S. Economy in a 'Much Better Spot'

The video discusses the Federal Reserve's approach to interest rate adjustments, focusing on inflation and unemployment as key indicators. It highlights concerns about the stock market's impact on policy decisions and the importance of normalizing interest rates to maintain economic stability. The discussion includes GDP growth, consumer spending trends, and labor market dynamics, emphasizing the need for gradual and regular rate increases to avoid unsustainable economic conditions.

What is the primary focus of the Federal Reserve when determining its policy path?

• Commercial real estate prices

• Exchange rates

• Inflation and unemployment rates

• Stock market performance

What is the expected GDP growth rate for the first quarter according to the consensus?

• 3%

• 2%

• 1.5%

• 2.5%

What is the main concern if the economy grows faster than potential?

• Increased consumer spending

• Decreased stock prices

• Higher unemployment rates

• Inflation problems

What is the projected unemployment rate by the end of the year according to the survey?

• 3.5%

• 4%

• 4.5%

• 5%

Why is it important for the Federal Reserve to raise rates gradually?

• To avoid rapid inflation

• To maintain high stock prices

• To prevent unsustainable unemployment rates

• To increase consumer spending