The @federalreserve’s #JacksonHole Policy Symposium has typically been thought of as an event of #academic contemplation, rather than of active #policy innovation, but 2020’s event proved to be the exception to the rule.
That’s because #Fed #ChairPowell surprised many by introducing the #FOMC’s Statement on Longer-Run Goals and Monetary Policy Strategy, which was not expected until later in the year.
…in a manner that highlighted its determination to stamp out extraordinarily high levels of #inflation with historically high policy #rate levels.
Today, as #ChairPowell clearly indicated, the challenge is to address downside risks to #inflation and potential “shortfalls” of #employment from its maximum level. 
So, the key to near-term #monetarypolicy will be all about the #Fed’s dual mandate, but with one mandate being the target (#employment) and one being the governor on how far the central bank is willing to go (#inflation)…
…but now with a greater willingness to press on employment gains, even with modestly above 2% inflation #rates for some time.
