Federal Reserve Gulsby: Tariff implementation far exceeds model predictions, unclear how to respond to negative supply shocks

BlockBeats News: On April 9th, Chicago Fed President Goolsby stated that the implementation of tariffs far exceeded previous model predictions. The Federal Reserve must take a longer-term perspective on the issue, rather than being volatile like the stock market. There is disagreement within the Federal Reserve about how quickly or to what extent the tariff hike will be transmitted to consumers, which could lead to supplier bankruptcy. It is still unclear how the Federal Reserve will respond to negative supply shocks. (Golden Ten)