Updated live
Bullard:
- It's prudent to create balance sheet space because QE will likely be used in next crisis
- Raising policy rate but not changing balance sheet is 'odd', logical disconnect
- Main failing of economics is assuming trend will continue
Evans:
- Large balance sheet creates political pressure
- We're not allowed to buy stocks
- The Fed funds rate was always forecast to go up because it always had been in the past but those forecasts hurt inflation
Rosengren:
- Fed will hit zero rates 'pretty frequently' so we need a system designed to be equipped
- It's inevitable we're going to be talking about balance sheet expanding in most recessions
