Susan Collins, President and CEO of the Boston Fed Live Webcast

Boston Fed President and CEO Susan M. Collins' remarks, and a fireside chat with Kristin Forbes, Jerome and Dorothy Lemelson Professor of Management and Global Economics at Sloan, are being livestreamed. 1. Collins remains optimistic that inflation can be brought back to 2 percent in a reasonable amount of time and with a labor market that remains healthy. But she is realistic about the risks and uncertainties around that outlook. Uncertainty remains high in terms of the timing and full impact of monetary policy. 2. Stronger-than-anticipated inflation and economic activity suggest that achieving the Fed’s dual mandate goals may take longer than previously thought, and progress may be uneven. Monetary policymaking in the current context requires patience and methodical assessment of the available constellation of information. 3. There was noticeable progress last year towards price stability, driven largely by favorable supply developments (including labor productivity). But such rapid supply improvements may not continue, making demand moderation important. Collins expects that slower growth will be needed to achieve a better balance with supply and ensure the economy remains on a path towards price stability. 4. The current policy stance, which Collins views as be post: FED’S COLLINS: EXPECTS DEMAND WILL NEED TO SLOW TO GET INFLATION TO 2% || FED POLICY WELL POSITIONED FOR CURRENT OUTLOOK || MONETARY POLICY IS ‘MODERATELY’ RESTRICTIVE

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