Fed's Mester on Economic Recovery, Policy Support, Yield-Curve Control

The transcript discusses the Federal Reserve's actions to stabilize financial markets during the pandemic, emphasizing the importance of credit flow and emergency facilities. It explores the role of monetary policy in supporting economic recovery, highlighting challenges such as COVID-19 and potential trade uncertainties. The discussion includes the use of monetary tools like forward guidance and asset purchases, and considers yield curve control as a future option.

How does the speaker view the relationship between market functioning and economic recovery?

What does the speaker indicate about the current state of the economy and employment?

What tools does the speaker mention that the Federal Reserve might use to support the economy?

What are the potential implications of a new trade war with China on the economy?