A Serenity Prayer for Monetary Policymakers: Loretta J. Mester, President and Chief Executive Officer, Federal Reserve Bank of Cleveland - The Global Interdependence Center, Central Banking Series, Singapore - February 20, 2017

Rather than provide a standard economic outlook talk, I?d like to speak about a challenge that monetary policymakers face in the aftermath of the financial crisis and Great Recession. That challenge is managing expectations. When we think about expectations in the context of monetary policy, we usually mean expectations about inflation or expectations about the future path of policy. But today, what I mean is managing expectations about the role monetary policy can play in promoting a healthy economy. While I?ll focus on the Federal Reserve, I believe a similar challenge applies to central bankers around the world. Of course, the remarks I?ll provide are my own views and not necessarily those of the Federal Reserve System or my colleagues on the Federal Open Market Committee.