On Wednesday’s broadcast of the Fox News Channel’s “America Reports,” Chicago Federal Reserve Bank president Austan Goolsbee discussed the January inflation report and stated that the numbers are “not the result of any policy of the new administration. We’ve been dealing with inflation that was too high for some years.” And noted that there was a temporary jump in inflation at the start of 2024 as well.
Goolsbee said, “There’s no sense in which the inflation numbers that we got today — which are concerning, though they’re just one month, they are concerning — they’re not the result of any policy of the new administration. We’ve been dealing with inflation that was too high for some years. I joined the Fed about two years ago, the inflation rate was already very high, and we’ve, at the Fed, been spending our time trying to get it down.”
Earlier, after co-host Sandra Smith said that federal spending created inflation, Goolsbee stated, “There are a lot of reasons why inflation went up. There were a lot of supply shocks involved in there, too, the price of oil, the supply chains, and things like that.” And spending cuts done by DOGE could be helpful to the Fed.
Goolsbee also stated that inflation in 2023 fell without a recession and there was a temporary bump in inflation at the beginning of 2024 before it began falling again and we have to “figure out what the causes of inflation are.”
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