Powell Says Fed Will Act 'Forthrightly' on Inflation

The transcript discusses the Federal Reserve's approach to controlling inflation, drawing lessons from past efforts led by Paul Volcker. It emphasizes the need for decisive action to prevent inflation from becoming a norm, which would increase the difficulty and cost of reducing it. The Fed is committed to maintaining price stability and is focused on achieving a 2% inflation target. The speech delivered was concise, focusing on the Fed's responsibility and the risks of prolonged high inflation. The Fed's commitment to its goals is highlighted, with an assurance that political factors do not influence its policy decisions.

What is the Federal Reserve's responsibility as mentioned in the speech?

What historical caution is mentioned regarding the loosening of policy?