First of all, there are doubts as to whether communication with the general public can be carried out in an undistorted way 4 ; specifically, it may not be easy to convince market participants that the announced path of policy rates is conditional, and is not a promise. Second, there is a measurement problem.
Stanley Fischer: Financial sector reform – how far are we? Text of the Martin Feldstein Lecture by Mr Stanley Fischer, Vice Chair of the Board of Governors of the Federal Reserve System, at the National Bureau of Economic Research, Cambridge, Massachusetts, 10 July 2014.