Rising oil prices, like other unfavorable price shocks, can also feed through and raise underlying core inflation, ... So there is also a risk on the inflation front, and the risk is higher now than it was a year ago. |
roughly consistent with an economy operating at potential. |
short-lived. |
There is no evidence the Fed is less effective in monetary policy |
These gradual aggregate changes would allow time for any appropriate recalibration of policy -- if, in fact, one is needed, |
time to react and take action. |
We feel it's necessary to reduce accommodation, |
We still believe that (there is) excess capacity in the economy, |