Determining precisely the right time to “take away the punch bowl” is always a challenge for central bankers, but that is true whether they are using traditional or nontraditional policy tools.
I can assure you that my colleagues and I will carefully consider how best to foster both of our mandated objectives, maximum employment and price stability, when the time comes to make these decisions. How does the Fed’s monetary policy affect savers and investors? The concern about possible inflation is a concern about the future.