Fed's Jeffrey Lacker speaking in Baltimore

  • Case for more rate hikes has been bolstered by estimates that the natural real rate is at or just above zero
  • Monetary policy determines long run prices not growth
  • Fed still has an important role in aiding growth
  • Successive rounds of QE have had little or no tangible effect on the economy
  • No evidence that a recession is imminent

One of the Fed hawks but is not a voter this year.

Many are sceptical that QE has done anything but try telling that to the ones you have done it.