Federal Reserve Forms Five External Working Groups to Review Monetary Policy

Federal Reserve Chairman Kevin Warsh announced the formation of five external expert working groups to conduct a comprehensive review of the Federal Reserve's monetary policy operating mechanisms, covering areas such as balance sheet management, policy tools, and the impact of artificial intelligence. Each working group will conduct independent research, form analytical results based on facts, and submit them to the Federal Open Market Committee to assess the existing policy tools, analytical methods, and potential improvements to the policy framework. The review teams include several prominent economists and former central bank officials, with Harvard economist Raj Chetty leading the data working group, technology investor Marc Andreessen overseeing the productivity and employment working group, and former Chairman of the White House Council of Economic Advisers Greg Mankiw co-leading the inflation working group. Warsh stated that the U.S. economy has undergone significant changes over the past generation, and the current pace of transformation is even faster. The Federal Reserve needs to ensure that it is in optimal condition to achieve the dual goals of stabilizing prices and promoting employment.