Powell On Balance Sheet Once The Taper Is Over

Q: Once the taper is over, will you hold the balance sheet steady or start to passively wind down? Do you have any greater insight into what QE actually does for economic impact?

• A: "I expect we will do that in coming meetings and do it in an orderly fashion. We will talk about reinvestment and all these things. Typically, when we are doing a new subject like that we have a series of briefings and discussions, and that is what we will now begin to do.
• Re QE, there's a large amount of research and scholarship on this... [goes through the usual Fed take on QE impact, substitution effect, impact on rates, etc]