This paper presents a 16-variable Bayesian VAR forecasting model of the U.S. economy for use in a monetary policy setting. The variables that comprise the model are selected not only for their effectiveness in forecasting the primary variables of interest, but also for their relevance to the...

Understanding why the prices of commodities, like copper, increase or decrease is one of the many pieces of the puzzle that we as policymakers try to fit together to help us figure out how the economy and inflation will perform in the future. Inflation is what the Federal Reserve can control -...

In a speech at Oberlin College, Federal Reserve Bank of Cleveland President and CEO Sandra Pianalto described the issues the Federal Reserve considers when making monetary policy decisions. She also gave her outlook on the economy and discussed why she decided that purchasing additional Treasury...

In a speech at Case Western Reserve University, Federal Reserve Bank of Cleveland President and CEO Sandra Pianalto discussed how the recovery is unfolding, focusing on the stubborn nature of high unemployment and her concern about our uncomfortably low rate of inflation. She also explained why...

I would like to share with you some of my thoughts about economic forecasts and monetary policy. I will begin with some comments about the economy's recent performance and the outlook for 2006. Next, I will explain why making sound policy decisions requires me to think about both the demand and...

I remain convinced that low and stable inflation rates will help us prosper as a nation. I hope that my remarks will help to dispel some of the mystery surrounding the Federal Reserve and help you to better understand our commitment to price stability and maximum sustainable growth.

In a speech to the Pittsburgh Chapter of the Association for Corporate Growth, President Pianalto presented her current outlook for the economic recovery and inflation, and described some risks to that outlook. She also discussed the Federal Reserve's monetary policy and the benefits of an...

In a speech at a Global Interdependence Center (GIC) conference in Paris, France, Sandra Pianalto, president and CEO, Federal Reserve Bank of Cleveland, explains how global price pressures can increase the complexity of formulating monetary policy.