Kugler Says Inflation on Sustainable Path to Fed's 2% Goal

The transcript discusses the progress made towards achieving maximum employment and stable prices, noting that the labor market is solid and inflation is on track to meet the 2% goal. It emphasizes that future policy decisions will be data-driven, with upcoming reports on jobs and inflation being crucial. The speaker highlights the importance of monitoring economic conditions, particularly supply shocks, to maintain progress in reducing inflation and sustaining economic activity. The current policy is deemed well-positioned to handle uncertainties while pursuing the dual mandate.

What is the dual mandate mentioned in the first section?

• Low taxes and high government spending

• Balanced budget and trade surplus

• High GDP growth and low unemployment

• Maximum employment and stable prices

What is the target inflation rate mentioned in the first section?

• 3%

• 2%

• 1%

• 4%

What is emphasized as important in the policy-making approach?

• Focusing only on employment

• Ignoring market trends

• Assessing new data

• Following a fixed path

What upcoming reports are mentioned in the second section?

• GDP and trade balance

• Jobs and inflation data

• Consumer confidence and retail sales

• Interest rates and stock market

What is the concern regarding supply shocks in the third section?

• They only affect employment

• They are irrelevant to inflation

• They may reverse economic progress

• They will always be positive