The US economy has so far withstood the effects of higher interest rates a lot better than expected. Unemployment is still at historic lows, even while inflation has cooled and the Federal Reserve has hiked rates for about 18 months. That's not how things are supposed to work according to traditional economic theory. So what's going on? On this episode, we speak with Richmond Fed President Tom Barkin about how he's viewing the impact of higher rates right now. He talks about what businesses are telling him about their plans, and what sectors of the economy could still feel the long and variable lag from tighter monetary policy.

The US economy has so far withstood the effects of higher interest rates a lot better than expected. Unemployment is still at historic lows, even while inflation has cooled and the Federal Reserve has hiked rates for about 18 months. That's not how things are supposed to work according to traditional economic theory. So what's going on? On this episode, we speak with Richmond Fed President Tom Barkin about how he's viewing the impact of higher rates right now. He talks about what businesses are telling him about their plans, and what sectors of the economy could still feel the long and variable lag from tighter monetary policy.

Bloomberg's Joe Weisenthal and Tracy Alloway explore the most interesting topics in finance, markets and economics. Join the conversation every Monday and Thursday.

Bloomberg's Joe Weisenthal and Tracy Alloway explore the most interesting topics in finance, markets and economics. Join the conversation every Monday and Thursday.

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On Bloomberg’s Odd Lots podcast Joe Weisenthal and Tracy Alloway explore the most interesting topics in finance, markets, and economics. Join the conversation every Monday and Thursday. 

On Bloomberg’s Odd Lots podcast Joe Weisenthal and Tracy Alloway explore the most interesting topics in finance, markets, and economics. Join the conversation every Monday and Thursday.

The Fed's Tom Barkin On the Impact of Higher Interest Rates

https://api.omny.fm/orgs/e73c998e-6e60-432f-8610-ae210140c5b1/clips/04839f51-d9ec-4c65-b0f9-b08d0144b9a6/transcript

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