What a New Fed Chair Could Mean for Monetary Policy

The transcript discusses the selection of the next Federal Reserve Chair, focusing on potential candidates and the implications of their policies on the balance sheet and interest rates. It highlights the market's reaction to current Fed policies and the potential for changes under new leadership. The discussion also covers Janet Yellen's achievements, the economic fundamentals of the U.S., and the outlook for 2018, emphasizing full employment and market highs.

What is the main concern if Janet Yellen is not reappointed as Fed Chair?

• The size of the balance sheet

• The unemployment rate

• The inflation rate

• The stock market performance

How does the market view the gradual reduction in the balance sheet?

• As having little impact

• As a positive change

• As a major concern

• As a reason for high inflation

What is a potential wild card in the Fed's future policy?

• Reducing unemployment

• Increased speed of tapering

• Lowering interest rates

• Increasing the balance sheet

What significant achievement is attributed to Janet Yellen's tenure?

• Lowering interest rates

• Increasing inflation

• Achieving full employment

• Reducing the national debt

What is a key indicator of the US economy's health mentioned in the discussion?

• High inflation rates

• Rising national debt

• Low unemployment rates

• Decreasing stock market