Does the new Fed chair care about jobs?
Summary
This episode examines the Federal Reserve’s dual mandate of price stability and maximum employment, highlighting the tension between these goals. Hosts discuss how new Fed Chair Kevin Warsh’s recent comments and policy statements seem to prioritize inflation control over job growth. Economist Claudia Sahm explains the complexities of defining maximum employment and critiques the Fed’s vague communication regarding its commitment to workers.
Topics discussed
June jobs report and Fed's dual mandate
Sponsors: Sattva, Dell, Edward Jones
Global central bank mandates and history
Defining maximum employment and inflation trade-offs
Limitations of interest rates on labor equity
Kevin Warsh's stance on the dual mandate
Credits and closing sponsors
Listen ad-free on Castria