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But we saved everything 🙂.
Diane Swonk highlights that Federal Reserve efforts to cut rates to improve employment may not be as effective as before. She points out that both worker demand and investment have become less responsive to interest rate shifts, which means monetary policy tools cannot fully address current issues in the U.S. labor market.
Swonk previously discussed how the Iran conflict is causing global supply chain disruptions and higher U.S. freight costs in her analysis of mounting shortages and rationing. Separately, she noted the role of Gulf countries as global financial actors through their sovereign wealth funds in recent commentary on Gulf capital flows. These earlier observations round out Swonk’s recent views on challenges facing U.S. economic policy.