The Federal Reserve's interest rate decisions shape the economic landscape, influencing borrowing costs for everything from mortgages and auto loans to business investments. These policy changes directly affect whether businesses expand operations, invest in equipment, or increase staffing. At Employ America, we research how the Fed can better balance its dual mandate, advocating for approaches that prioritize achieving and sustaining full employment while utilizing more targeted tools to address inflationary pressures.
Monetary Policy

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The confirmation hearing for Miran aired some key issues, but hardly all of them, and not the most important ones. It would be unwise to make an exception for seemingly “short-term” appointments; short-term appointments can last longer than initially anticipated.
Our immediate reaction to Powell's Jackson Hole speech.
The 2020 Fed Framework changes around full employment were appropriate and an important part of achieving the full employment recovery seen after the pandemic. Blaming it for historically unique demand- and supply-side inflationary shocks misses the mark.
With inflation risk still unresolved and the labor market still looking similar to how it did in the previous meeting, the Committee is still mostly in wait-and-see mode.
On the eve of the blackout period last week, Federal Reserve Governor Christopher Waller delivered a speech outlining why he believes the Fed should reduce interest rates by 25bps at the July 2025 FOMC meeting. Governor Waller’s arguments were rooted in data and solid macroeconomic analysis, and many of
This is the final post in our multi-part series on the Fed's 2025 framework review and strategy for dealing with supply shocks. Part 1 discusses how the Fed can deal with tariff inflation risks, Part 2 discusses the implications of recent productivity dynamics, Part 3 discusses the Fed&
This is the fourth post in our multi-part series on the Fed's 2025 framework review. Part 1 discusses how the Fed can deal with tariff inflation risks, Part 2 discusses the implications of recent productivity dynamics, and Part 3 discusses the Fed's inflation and supply shock
This is the third post in our multi-part series on the Fed's 2025 framework review. Part 1 can be found here and Part 2 can be found here. The Fed has an opportunity to learn valuable lessons and apply those lessons in a forward-looking manner. By revising its
This is the second post in our multi-part series on the Fed's 2025 framework review. Part 1 can be found here. The Fed has an opportunity to learn valuable lessons and apply those lessons in a forward-looking manner. By revising its framework accordingly, Fed policy can be more