Over time, low rates can put pressure on the business models of financial institutions. — Jerome Powell Copy Share Image
The financial crisis revealed important weaknesses in many areas of our financial system. — Jerome Powell Copy Share Image
The success of monetary policy should be judged by the economy's performance against our statutory mandates of price stability and maximum employment. — Jerome Powell Copy Share Image
Businesses and households react to lower rates by investing and spending more. Lower rates also support the prices of housing and financial… — Jerome Powell Copy Share Image
Congress created Fannie Mae in 1938 and Freddie Mac in 1970. For many years, these institutions prudently pursued their core mission of… — Jerome Powell Copy Share Image
Although I have never worked in a community bank, I have been a customer, and I know from personal experience the special… — Jerome Powell Copy Share Image
The main long-run contribution monetary policy can make is to provide a stable macroeconomic and financial environment. — Jerome Powell Copy Share Image
The FOMC has considerable control over short-term interest rates. We have much less influence over long-term rates, which are set in the… — Jerome Powell Copy Share Image
The financial crisis involved significant failures in the functioning, regulation, and supervision of OTC derivatives markets. — Jerome Powell Copy Share Image
Central banking often comes across as obscure and complicated, and we try to help the public understand what we do. — Jerome Powell Copy Share Image
It is worth noting that 'too big to fail' is not simply about size. A big institution is 'too big' when there… — Jerome Powell Copy Share Image
While monetary policy can contribute to growth by supporting a durable expansion in a context of price stability, it cannot reliably affect… — Jerome Powell Copy Share Image
If the public understands the central bank's views on the economy and monetary policy, then households and businesses will take those views… — Jerome Powell Copy Share Image
By the beginning of the 20th century, the debate about monetary policy and the nation's financial system had been going on for… — Jerome Powell Copy Share Image
The overwhelming majority of new mortgages are issued with government backing in a highly concentrated securitization market. That leaves us with both… — Jerome Powell Copy Share Image
While the move to central clearing has made the system safer, we need to make sure that the central counterparties have the… — Jerome Powell Copy Share Image
The financial crisis and the Great Recession left firms with excess capacity, reducing incentives to invest. If businesses expect slower growth to… — Jerome Powell Copy Share Image
The Fed's organization reflects a long-standing desire in American history to ensure that power over our nation's monetary policy and financial system… — Jerome Powell Copy Share Image
The only way to ensure that inflation expectations remain safely anchored near the FOMC's target is to keep inflation close to that… — Jerome Powell Copy Share Image
Bailouts may have been more tolerable in the early 1990s when they were rare and their use for a failing bank was… — Jerome Powell Copy Share Image
All economic forecasts are subject to considerable uncertainty. There is always a wide range of plausible outcomes for important economic variables, including… — Jerome Powell Copy Share Image
Real short- and long-term rates were relatively high in the late-1990s, so financial excess can also arise without a low-rate environment. — Jerome Powell Copy Share Image
Below-target inflation increases the real value of debts owed by households and businesses and reduces the ability of central banks to respond… — Jerome Powell Copy Share Image
The question of how to structure our nation's financial system arose in the early years of the republic. — Jerome Powell Copy Share Image
AIG's failure revealed systemic problems in the OTC derivatives market that went well beyond the failure of a single market participant. — Jerome Powell Copy Share Image
By purchasing and holding large amounts of Treasury securities and MBS, we put additional downward pressure on term premiums and so on… — Jerome Powell Copy Share Image
The Federal Reserve is committed to fulfilling our statutory mandate of stable prices and maximum employment. — Jerome Powell Copy Share Image
We need a system that provides mortgage credit in good times and bad to a broad range of creditworthy borrowers. — Jerome Powell Copy Share Image
The Congress has tasked the Federal Reserve with achieving stable prices and maximum employment - the dual mandate. — Jerome Powell Copy Share Image
Regulatory changes have forced banks to closely examine their liquidity planning and to internalize the costs of liquidity provision. The costs of… — Jerome Powell Copy Share Image
Long experience, in the United States and in other advanced economies, has demonstrated that monetary policy is most successful when decisions are… — Jerome Powell Copy Share Image
One factor that favors easier adjustment in EMEs is that U.S. monetary policy normalization has been and should continue to be gradual,… — Jerome Powell Copy Share Image
The financial crisis and the Great Recession posed the most significant macroeconomic challenges for the United States in a half-century, leaving behind… — Jerome Powell Copy Share Image
We need a resilient, well-capitalized, well-regulated financial system that is strong enough to withstand even severe shocks and support economic growth by… — Jerome Powell Copy Share Image
The Federal Reserve places great importance on our relations with the Bundesbank. Few such relationships have been as important, over the decades,… — Jerome Powell Copy Share Image
If investors avoid the Treasury market, we could be unable to pay off maturing securities, which would mean an immediate default. Market… — Jerome Powell Copy Share Image
The sale of Treasury bonds, notes, and bills finances the U.S. government, and those securities are, in turn, a primary vehicle for… — Jerome Powell Copy Share Image
With customers' permission, fintech firms have increasingly turned to data aggregators to 'screen scrape' information from financial accounts. In such cases, data… — Jerome Powell Copy Share Image
Alignment of business strategy and risk appetite should minimize the firm's exposure to large and unexpected losses. In addition, the firm's risk management capabilities… — Jerome Powell Copy Share Image
The too-big-to-fail reform project is massive in scope. In my view, it holds real promise. But the project will take years to complete. Success… — Jerome Powell Copy Share Image
The financial crisis and the Great Recession left firms with excess capacity, reducing incentives to invest. If businesses expect slower growth to continue, that… — Jerome Powell Copy Share Image
All economic forecasts are subject to considerable uncertainty. There is always a wide range of plausible outcomes for important economic variables, including the federal… — Jerome Powell Copy Share Image
Emerging market economies have long grappled with the challenges posed by large and volatile cross-border capital flows. — Jerome Powell Copy Share Image
A risk-insensitive leverage ratio can be a useful backstop to risk-based capital requirements. But such a ratio can have perverse incentives if it is… — Jerome Powell Copy Share Image
The Federal Reserve is not charged with designing or evaluating proposals for housing finance reform. But we are responsible for regulating and supervising banking… — Jerome Powell Copy Share Image
Although I have never worked in a community bank, I have been a customer, and I know from personal experience the special skills that… — Jerome Powell Copy Share Image
Perhaps the greatest challenge for the resolution of a systemic global bank is the possibility that public or private actors in different countries might… — Jerome Powell Copy Share Image
An efficient payments system provides the infrastructure needed to transfer money in low-cost and convenient ways. Efficient systems are innovative in improving the quality… — Jerome Powell Copy Share Image
Higher capital requirements increase bank costs, and at least some of those costs will be passed along to bank customers and shareholders. But in… — Jerome Powell Copy Share Image
