Image for Powellism

Powellism

Powellism refers to the monetary policy approach associated with Jerome Powell, the Chair of the U.S. Federal Reserve. It emphasizes using the Fed’s tools—like adjusting interest rates and asset purchases—to promote maximum employment and stable inflation. Powell’s approach is cautious and data-driven, often prioritizing gradual adjustments to avoid sudden shocks to the economy. He aims for transparency and clear communication to manage market expectations, balancing growth with inflation control. Essentially, Powellism is about careful, responsive management of monetary policy to support a stable, healthy economy.