U.S. Inflation and Unemployment Rate Gaps Percent 10 8 Inflation Gap  Unemployment Rate Gap (Relative to CBO Natural Rate)  (Core PCE Inflation 6 Relative to 2%) 4 2 0  Note: PCE is personal consumption expenditures. Source: U.S. Department of Labor, Bureau of Labor Statistics; Congressional Budget Office (CBO).
BIS central bankers’ speeches  1  Statement of principles The first communications initiative adopted by the FOMC was to issue a consensus statement of principles about its long-run policy goals and objectives. The statement makes four very significant points in clarifying our policy objectives.