Mester on the Fed keeping rates lower
- Benefits of a strong labor market in fostering economic inclusion are clear
- Revised strategy clarifies that strong employment is not a concern in the absence of inflation of financial stability risks
- It's possible low rates and persistently accommodative monetary policy could increase financial vulnerabilities by encouraging higher levels of debt
- There may be circumstances where monetary policy may need to be adjusted to mitigate risks to financial stability
Maybe the Fed believes that no one is listening or believes that it will keep rates low. So their strategy is to repeat it over and over.