MESTER: MORE COSTLY ERROR IS ASSUMING INFLATION EXPECTATIONS ARE ANCHORED WHEN THEY ARE NOT
FED’S MESTER: THERE IS SOME RISK IN THE U.S. THAT LONGER-TERM INFLATION EXPECTATIONS OF BUSINESSES AND HOUSEHOLDS WILL CONTINUE TO RISE
MESTER: MORE COSTLY ERROR IS ASSUMING INFLATION EXPECTATIONS ARE ANCHORED WHEN THEY ARE NOT
FED’S MESTER: THERE IS SOME RISK IN THE U.S. THAT LONGER-TERM INFLATION EXPECTATIONS OF BUSINESSES AND HOUSEHOLDS WILL CONTINUE TO RISE