Yellen Says Fed Rate Hike Path Not Set in Stone

The transcript discusses the unpredictability of rate increases due to economic surprises and the need to adjust monetary policy accordingly. It highlights the uncertainty in economic forecasts and the importance of the equilibrium real rate of interest. Historical rate adjustments are reviewed, noting the impact of global shocks. The speaker emphasizes a gradual path for monetary policy, considering low inflation and a tightening labor market.

What factors contribute to the unpredictability of the path of rate increases?

What does the speaker mean by a 'gradual path' in monetary policy?

How has the equilibrium real rate of interest changed over the years according to the speaker?

What are the implications of low inflation on monetary policy as discussed in the text?

Why does the speaker believe that there is not much accommodation left in monetary policy?