Business Economics

, Volume 53, Issue 4, pp 173–183 | Cite as

Monetary policy and risk management at a time of low inflation and low unemployment

  • Jerome H. PowellEmail author


I do not see it as likely that the Phillips curve is dead, or that it will soon exact revenge. It is more likely that many factors, including better conduct of monetary policy over the past few decades, have greatly reduced, but not eliminated, the effects that tight labor markets have on inflation. However, no one fully understands the nature of these changes or the role they play in the current context. Common sense suggests we should beware when forecasts predict events seldom before observed in the economy.


Phillips curve Inflation Federal Reserve Monetary policy 


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Copyright information

© National Association for Business Economics 2018

Authors and Affiliations

  1. 1.Board of Governors of the Federal Reserve SystemWashingtonUSA

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