Posted 12/15/2023, 3:09:00 PM
Summers Warns of Bumpy Road Ahead for Economy, Urges Patience from Fed on Rate Cuts
- Soft landing is uncertain due to credit strains, yield curve inversion, and consumer behavior changes
- Would aim for clear evidence of durable disinflation as Fed Chair before easing policy
- Believes Fed damaged itself through overemphasis on forward guidance and transparency
- Ultimate economic impact of AI will be profound, but timing uncertain
- Trump challenging election results and praise of dictators represents profound economic threat