The U.S. economy is healthier today than was forecast just one year ago, stronger than the same stage of previous recoveries, and better on growth and inflation than our peers. There has been a large decline in inflation toward its 2 percent target alongside solid growth and low unemployment. Indeed, headline and core PCE inflation have been around 2 percent for the past half year. Inflation has declined even as growth was around 3 percent over the year, and unemployment remained below 4 percent for 2 years, the longest stretch since the 1960s. Looking to history, we have never had a year where inflation has declined ... (full story)