Fed Chair Warsh calls accuracy in economic forecasts an aspiration
Kevin Warsh criticized forward guidance at the Fed Jackson Hole conference, saying economic forecasts remain uncertain.
Federal Reserve Chair Kevin Warsh said accuracy in economic forecasting remains just an aspiration and explained why he does not support issuing forward guidance, Bloomberg reported.
Warsh made the comments at the Federal Reserve annual conference in Jackson Hole, Wyoming, on Aug. 28.
The Fed chair highlighted the uncertainty surrounding economic projections and the difficulty of communicating a precise policy path in advance. He argued that forecasts should not be treated as dependable promises about future decisions.
Warsh comments came as policymakers and markets continue to assess inflation, growth and interest rates.