Charles Evans, Interview: Milwaukee Business Journal

“That is, we will not have moved away from our accommodated monetary policy stance quickly enough to have effected that outcome, so I think that’s the improvement in the supply chain and business conditions and all of that. But still, it could be higher than that. So we need to move towards something that is at least more neutral. Neutral is more like a two and a half percent federal funds rate. We’re currently at zero to a quarter percent. That’s what we’ve been targeting. So we’ve got ways to go. 2, 3, 4 this year, that doesn’t get us to neutral. It’s going to take us into the next year to get close. Unless you decide that there’s way more work to do, that Evans is wrong, it’s not going to be as transitory. The persistence is going to be longer than that, in which case we’d probably want to get to neutral and assess that more quickly. But I think it’s going to take some time. There’s a lot of impatience. Prices are high. But it’s going to take some time to work this out.”