Fed Officials Worry Quicker Rate Hikes May Be Needed

The transcript discusses the Federal Reserve's rate hikes, focusing on the economic implications of fiscal policies promised by Donald Trump, such as tax cuts and infrastructure spending. It highlights the potential for growth beyond current estimates and the risks of undershooting the unemployment rate, which could necessitate faster rate hikes to control inflation. The discussion also covers the uncertainty surrounding fiscal changes and their impact on the economic outlook. Despite some downside risks, such as dollar appreciation and foreign vulnerabilities, the Fed enters 2017 with optimism due to an improving business outlook, a stronger labor market, and rising inflation.

What downside risks did the Fed policymakers cite in their minutes?

How did the Fed enter 2017 according to the text?