Observers watching how these policy paths evolve as the economy improves are likely to learn more about the timing and magnitude of future policy actions. This then will reveal more about the policymakers’ reaction function, on which I will have more to say in a moment. From my perspective, our actions in January were important steps forward.
We clarified our goals and objectives, and we became more transparent about our views of future policy. More to do Of course, as I mentioned at the outset, improving the transparency of our communications and strengthening our policy framework is a work in progress. More can be done.