Transcripts of the monetary policymaking body of the Federal Reserve from 2002–2008.

I am supportive of the policy recommendation, and I support the unbundling of the two risks. I’m also pleased that the statement acknowledges our concern about deflation by indicating that a substantial fall in inflation would be unwelcome. However, I share some of the views expressed by others about the “taken together” sentence, which rebundles the risks. I am concerned that it will cause the markets to focus just on the fact that we’ve changed our balance of risks toward weakness. My preference is not to have that sentence in the statement. However, I can support the statement as it’s written. And I, too, look forward to the development of a communication method that we all feel comfortable calling a swan.

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