Fed Inflation Fight Is 'High-Wire Act': Economist Swonk

The video discusses the importance of the Federal Reserve's balance sheet size and its impact on the yield curve. It highlights the strategic discussions on managing the balance sheet and the potential effects on developing economies. The video also addresses the global inflation problem and the challenges faced by developing economies in defending their currencies, as discussed at the Jackson Hole Symposium.

What is the significance of the yield curve in the context of the Federal Reserve's decisions?

What factors should the Federal Reserve consider when managing their balance sheet?

What does the term 'exit strategy' refer to in the context of the Federal Reserve's balance sheet?

How might shrinking the balance sheet affect developing economies?

Discuss the global implications of inflation as mentioned in the text.