The Federal Reserve offered details about the five task forces the agency is forming to examine areas central to its monetary policy goals. Fed Chairman Kevin Warsh announced the agency’s intention to establish these task forces following the Federal Open Markets Committee’s (FOMC) June vote on interest rates.
“The Federal Reserve’s commitment to price stability and maximum employment is unwavering, as is our resolve to pursue our mandate with rigor,” Warsh said in a press release. “The U.S. economy has changed significantly over the last generation, and never more so than right now. Each task force will carefully consider whether policymakers’ means and methods, analytical tools and policy approaches can be improved upon.”
The task forces will be co-led by external advisers with deep expertise in their fields, including accomplished economists, business leaders and former central bank practitioners, according to the Fed.
“The goal is straightforward: to ensure the Fed is best positioned to achieve our objectives in this consequential time,” Warsh added.
The five task forces, their objectives and their appointed members are as follows:
Communications: This task force will review the Fed’s methods for conveying policy deliberations and decisions amid economic uncertainty. Its members include:
- Peter Fisher, professor of practice, Foster School of Business, University of Washington
- Arminio Fraga, founder and chairman, Gávea Investimentos; former president, Central Bank of Brazil
- Mervyn King, former governor, Bank of England
Balance Sheet Policy: This task force will examine the costs, benefits and institutional implications of the Federal Reserve’s current balance sheet regime. Its members include:
- Karen Dynan, professor of economics, Harvard University
- Raghuram Rajan, professor of finance, University of Chicago Booth School of Business; former governor, Reserve Bank of India
- Jeremy Stein, professor of economics, Harvard University; former governor, Federal Reserve Board
Data: This task force will focus on improving the quality and timeliness of real economic signals that inform the Fed’s policy judgments. Its members include:
- Raj Chetty, professor of economics, Harvard University
- Doug McMillon, former president and CEO, Walmart Inc.
- Kevin Murphy, professor of economics, University of Chicago
Productivity and Jobs: This task force will assess the economic impact of new general-purpose technologies, including artificial intelligence, to inform the Fed’s policy judgments. Its members include:
- Marc Andreessen, cofounder and general partner, Andreessen Horowitz
- Charles I. Jones, professor of economics, Stanford University, currently on leave at Anthropic
- Asha Sharma, executive vice president and XBOX CEO, Microsoft Corp.
Inflation Frameworks: This task force will revisit how the Fed works to understand and respond to the drivers of inflation. Its members include:
- Greg Mankiw, professor of economics, Harvard University; former chairman, Council of Economic Advisers
- Thomas Sargent, professor of economics, New York University; Nobel laureate
- William White, senior fellow, C.D. Howe Institute; former economic adviser, Bank for International Settlements
Supported by Fed staff, these task forces will be expected to operate independently, with a mandate to follow the evidence, provide candid feedback and produce rigorous findings for the FOMC.