finance
Fed Chair Names Task Force Leaders to Review Central Bank Operations
Fed Chair Kevin Warsh announced five task forces with outside co-leaders to examine the central bank's data practices, technology effects, balance sheet, inflation models, and communications. The groups include economists, business executives, and former officials.
Jul 9, 7:44 PM·1m read3 sources
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Fed Chair Kevin Warsh announced five task forces last month that will review the central bank's operations and recommend changes. Each group has three co-leaders drawn from economics, business, and former public service. The task forces will examine how artificial intelligence affects productivity and jobs, evaluate the data sources the Fed uses, review the central bank's balance sheet, assess inflation frameworks, and study communications practices.
Warsh said in a written statement that the U.S. economy has changed significantly and that the groups will consider whether the Fed's tools and methods need updating.
Venture capitalist Marc Andreessen, Microsoft executive Asha Sharma, and Stanford economist Charles Jones will co-lead the group on artificial intelligence, productivity, and jobs. Harvard economist Raj Chetty, former Walmart CEO Doug McMillon, and University of Chicago economist Kevin Murphy will co-lead the data evaluation task force.
Former Bank of England governor Mervyn King will serve as one of three co-leaders on the communications task force. Warsh has said he wants the Fed to communicate less about interest rate expectations and to reduce its roughly $6.7 trillion in government bond holdings.
The task forces will be supported by Fed staff, and it remains unclear how much influence their recommendations will carry.
