An appropriate delay would also allow firms adequate time to inform investors through annual reports and other public documents of their use of Federal Reserve facilities. Looking ahead, we will continue to work with the Congress in identifying approaches for enhancing the Federal Reserve’s transparency that are consistent with our statutory objectives of fostering maximum employment and price stability.
The argument for raising the inflation target to create a buffer against occasional episodes of binding effective lower bound on the nominal interest rate is usually made in the context of transitory declines in the equilibrium real rate.