“The economy is in a good place. The current economic expansion has been underway for almost 10 years. This long period of growth has pushed the unemployment rate down near historic lows. The employment gains have been broad-based across all racial and ethnic groups and all levels of educational attainment as well as among the disabled. While the unemployment rate for African Americans and Hispanics remains above the rates for whites and Asians, the disparities have narrowed appreciably as the economic expansion has continued.” Chair, Board of Governors of the Federal Reserve System Jerome H. Powell said.
The statement was made on February 28 at the Citizens Budget Commission 87th Annual Awards Dinner in New York. In his full speech on ‘Recent Economic Developments and Longer -Term Challenges’, Powell also highlighted concerns of Brexit and trade negotiations.
The speech did not make a comment on the future direction of policy. He stated that the Federal Open Market Committee (FOMC) will remain “patient”. The FOMC makes key decisions impacting interest rates and the growth of US money supply.
The Chairmen noted the difficulty of US demographics. The current population is not growing quickly and the average age is rising. His statement also focused on various demographic groups.
Powell deviated from the traditional silence on labor force policies by the Federal Reserve and called for the bringing of “prime-age workers into productive employment.”
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