Former Fed Pres. Plosser on Fed Policy, Candidates

The transcript discusses the uncertainty surrounding the selection of the next Federal Reserve chair, focusing on candidates like John Taylor and Janet Yellen. It explores Taylor's rules-based approach to monetary policy and the arguments for retaining Yellen for continuity. Concerns about the Fed's independence and political influence are highlighted, along with discussions on balance sheet reduction and inflation. The criteria for choosing the next Fed chair emphasize the importance of having a trained economist who can defend the Fed's independence.

In what ways does the speaker believe the Fed has become more politicized?

What challenges does the Fed face in maintaining its independence?

What are the implications of the Fed's balance sheet on monetary policy?

What does the speaker think about the effectiveness of quantitative easing in raising inflation?