I will come back to this point in a few moments. By comparison, risk sharing through fiscal policy takes a back seat.
Putting the federal budget on a sustainable path when the economy is strong would help ensure that policymakers have the space to use fiscal policy to assist in stabilizing the economy during a downturn. A more sustainable federal budget could also support the economy’s growth over the long term. Finally, I will briefly review our planned technical operations to implement monetary policy.