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MNI TRANSCRIPT: Powell on Inclusive Growth

     WASHINGTON (MNI) - The following is the portion of a transcript from
Federal Reserve Chairman Jerome Powell's press conference after the FOMC meeting
     Q: Chairman Powell it seems that the differences all across the country
that there are different regions reacting differently to the China trade and
some regions are much weaker than others. Urban versus rural divides coast
versus the middle of the country. How does that factor in to your policy
     A: Monetary policy is famously a blunt instrument. So we can't obviously we
can't raise rates some place and lower them other places but we are very
conscious, the first thing to know is understand that, that and we have called
that out as you I am sure know in one of our rechbt monetary policy reports to
Congress sort of rural urban disparities in, you know, in employment, in growth
in all kinds of things and health outcomes. It is a big and growing difference,
set of differences. We don't have the tools to address that but we call things
out that are important to our economy that we may not be -- that we May not have
the right tools to best address them but we call them out because we are
spending all of our time with the economy and those are issues that have to be
addressed by legislature and at the national level and at at state level.
     Q: So are you asking Congress to do something now or will you ask them to
do something down the road?
     A: I'm not asking Congress to do anything right now. I sometimes have noted
that it would be appropriate. Put it this way, we do what we do which is we are
assigned a job which is maximum employment and stable prices. We do financial
stability, we do bank regulation. The U.S. economy faces significant longer term
challenges around potential growth, around labor force participation, around
disparities of income and wealth, around all kinds of things and those are
issues for Congress. They are not issues for us. But if you really want the U.S.
economy to be all it can be, and raise the potential growth rate of the United
States you need proper monetary policy but really it is not monetary policy. It
is fiscal policy that supports inclusive growth.
--MNI Washington Bureau; +1 202 371 2121; email:

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