2  BIS central bankers’ speeches  economy is in the informal sector which remains undocumented and therefore beyond the tax net. Seventh, public sector enterprises instead of being a source of revenue for the government eat up scarce resources every year. Finally, we have had the misfortune of sufferings due to natural disasters i.e. floods and earthquakes in the recent past.
These fundamental structural features of the economy are also known by more familiar names such as the “natural rate of unemployment” and “potential output growth.” The longer-run federal funds rate minus long-run inflation is the “neutral real interest rate.” At the Fed and elsewhere, analysts talk about these values so often that they have acquired shorthand names.