Cooling Inflation Will Be 'Very Tough' for Fed, Blanchard Says

The video discusses the challenges of managing inflation in the current economic climate, drawing lessons from past inflationary periods. It explores the tools the Federal Reserve uses, such as interest rates and balance sheet adjustments, to control inflation. The discussion also covers structural factors like deglobalization and productivity, and emphasizes the importance of the yield curve in economic policy. The overall tone is cautious, highlighting the complexities and uncertainties in achieving economic stability.

What lessons can be learned from the economic policies of the 1970s?

In what ways has the pandemic accelerated shifts in the economy?

What indicators should be monitored to assess future inflation trends?