Chicago Fed president on waiting for other “credit shoes to drop”
Marketplace
Marketplace
4.6 • 8.5K Ratings
🗓️ 19 April 2023
⏱️ 27 minutes
🧾️ Download transcript
Summary
The intensity of a possible economic slowdown will depend on how much banks tighten credit conditions, said Austan Goolsbee, president of the Federal Reserve Bank of Chicago, in an interview with Marketplace today. We’ll ask about data he’s watching closely and the central bank’s messaging challenges ahead of its rate decision. Later, Reddit rethinks data access and California utility companies rethink how they charge for power.
Transcript
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| 0:00.0 | Economic doesn't have to be dull and boring, you know? |
| 0:06.0 | Just stick around. We'll show you. |
| 0:08.0 | From American public media, this is Marketplace. |
| 0:21.0 | In Los Angeles, I'm Kai, Rizdole. It is Wednesday, today, the 19th day of April. |
| 0:26.0 | It is always to have you along, everybody. |
| 0:28.0 | We are just a little bit less than two weeks away from the next meeting of the interest rate setting federal open market committee. |
| 0:35.0 | And you all know the state of play as well as I do. |
| 0:38.0 | Unclear would be that state of play. Maybe they're going to pause. Maybe they're going to raise rates a quarter of a percentage point. Maybe more. |
| 0:46.0 | Austin Gullsby is one of the 11 people who are going to have a vote come meeting time. |
| 0:51.0 | He is the new ish president of the Federal Reserve Bank of Chicago after a long stint at the University of Chicago. |
| 0:57.0 | And a couple of years at the Obama White House as well. Austin, it's going to have you back on the program. |
| 1:02.0 | Thank you, Kai. Thanks for having me back. |
| 1:04.0 | 30 seconds at the top of the show and the top of the interview. What's your gut on this economy right now? |
| 1:10.0 | I still waiting to see whether there are other credits used to drop, I'd say. |
| 1:17.0 | Not in the crisis sense, but in the how much squeezing is going to be coming from the bank side. |
| 1:24.0 | I think it's going to matter for whether this economy is going to slow down. |
| 1:30.0 | Everybody's forecasting some growth slow down for the second half of the year. |
| 1:36.0 | How intense that will be. It's going to depend a lot on the financial part. |
| 1:40.0 | I'll be honest with you. I did not expect to hear credit conditions being the first thing out of your mouth. |
| 1:46.0 | Yeah, I mean, it's because that's been the order of the day. |
| 1:51.0 | I mean, for sure we're watching the job market is the fly far the strongest part of the economy. |
| 1:57.0 | Still getting really unprecedented numbers. |
... |
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