Fed Governor Calls for Swift Rate Cuts to Neutral Levels, Cites Policy Drag

A Federal Reserve Governor said on Nov. 25 that substantial interest rate cuts are necessary, arguing current monetary policy is dragging on economic activity, Jin10 reports. The official called for the Fed to reduce rates to neutral levels as quickly as possible and expressed hope that employment data will persuade other members to support cuts. The Governor noted difficulty in quantifying artificial intelligence's economic impact.