The buildup of reserves in the U.S. banking system during the financial crisis has fueled concerns that the Federal Reserve's policies may have failed to stimulate the flow of credit in the economy: banks, it appears, are amassing funds rather than lending them out. However, a careful...

This paper studies the steady state and dynamic consequences of inflation in an estimated dynamic stochastic general equilibrium model of the U.S. economy. It is found that 10 percentage points of inflation entails a steady state welfare cost as high as 13 percent of annual consumption. This...

Although some think it's too soon to worry about high inflation, there are risks for that to happen in the medium term. Besides the obvious risks, a new bubble might be brewing in asset prices as investors search for higher returns, and the gap between actual output and potential output might be...

President's message.

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 conference in Rome, Italy, Federal Reserve Bank of Cleveland President Sandra Pianalto discussed her outlook for U.S. economic growth and inflation, and the implications of that outlook for U.S. monetary policy.

Remarks at E-3 Summit of the Americas: Export Trade Basics Forum 101, San Juan, Puerto Rico.

Remarks at Forecasters Club of New York, New York City.>

Presented at the 2011 European Banking & Financial Forum, Prague, Czech Republic.

While the market for Treasury inflation-protected securities (TIPS) has developed considerably over the past decade, the debate over whether their issuance benefits the U.S. Treasury remains contentious. Information from inflation swap rates in conjunction with a joint model of yields for...