Why Austan Goolsbee Is Still Concerned About Inflation

This podcast episode of Odd Lots features an interview with Chicago Fed President Austan Goolsbee, recorded at Jackson Hole before a speech by Powell. The conversation revolves around the current state of the economy, with a focus on inflation, labor market revisions, and the implications of tariffs. Goolsbee shares his perspective on the "four horsemen of truth and justice" (rates) in assessing the economy and expresses concern over rising services inflation. The discussion also touches on market expectations, the neutral rate, and the challenges of interpreting economic data amidst population growth shifts and immigration. Goolsbee reflects on his experiences in the 7th District, covering manufacturing and agriculture, and addresses the complexities of translating tariff impacts into broader inflationary pressures. The episode concludes with a discussion on the dynamics within the FOMC and the role of the Fed chair.