Fed Chair Janet Yellen on Productivity Slowdown

The video discusses the risks of delaying interest rate adjustments, which could lead to inflation or financial instability. It explains that slow productivity growth means dramatic interest rate increases are unnecessary. The video highlights the importance of productivity growth for improving living standards and examines potential causes of the productivity slowdown, such as slower technological progress, stagnant college graduation rates, and reduced business creation.

What are the potential risks of waiting too long to move toward the neutral interest rate?

How does productivity growth impact the standard of living in America?

What is the difference in the expected time for the average standard of living to double with 1% versus 2% productivity growth?

What factors have been suggested as causes for the productivity slowdown?

Why is the understanding of the productivity slowdown considered incomplete by economists?