Politics and Policy: An Improved Forecast of Continued Moderation

Federal Reserve policy has been at the forefront of our economic forecast for nearly the past decade, reinforcing an environment of historically low rates. While the latter is likely to be a lingering theme for some time going forward as the “recovery” remains on improved, albeit moderate footing, the former is about to change. The Trump administration has vowed to enact a number of unprecedented proposals including massive government investment, reduced regulation, as well as a...