in pursuing both sides of our dual mandate. as i conclude, i want to assure you that i am mindful that monetary policy decisions affect communities, families, and businesses across the country. i highly value opportunities to visit places like lafayette college and easton to share my views, hear from you, and see how the economy is experienced firsthand in your community. i remain fully committed to supporting maximum employment and bringing inflation sustainably to our 2 percent goal. our success in delivering on these goals matters to all americans. thank you. u. s. economic outlook and monetary policy philip n. jefferson vice chair, federal reserve board lafayette college, february 4, 2025 disclaimer : the views i will express today are my own and not necessarily those of the federal open market committee ( fomc ) or the federal reserve system. u. s. economic outlook and monetary policy philip n. jefferson vice chair, federal reserve board lafayette college, february 4, 2025 disclaimer : the views i will express today are my own and not necessarily those of the federal open market committee ( fomc ) or the federal reserve system.

for release on delivery 7 : 30 p. m. est february 4, 2025 u. s. economic outlook and monetary policy remarks by philip n. jefferson vice chair board of governors of the federal reserve system at the economics department special lecture, lafayette college easton, pennsylvania february 4, 2025 thank you, professor smith. it is an honor to be speaking to you today here at lafayette college. 1 i am glad to have the opportunity to return to such a historically important place as easton, pennsylvania, and the lehigh valley. this area was part of this country ’ s colonial beginnings, it was instrumental in the rising of the industrial age, and, as the home to crayola, it very literally played a role in coloring how we see the world. today, this region is leading the way forward with its many outstanding institutions of higher education, very prominently including, of course, lafayette college. today, i would like to take this opportunity to share with you my outlook for the u. s. economy and my views of appropriate monetary policy. this is a useful time to do that, as my colleagues and i on the federal open market committee ( fomc ), the federal reserve ’ s primary monetary policymaking body, held our first meeting of 2025 just last week. overall, the u. s. economy is starting the year in a good position. i expect inflation ’ s slow descent to continue, and i anticipate that economic growth and labor market conditions will remain solid. i have learned, however, that it is wise to be humble about my projections. there is always a great deal of uncertainty around any economic forecast, and currently we face additional uncertainties about the exact shape of government policies, as well as their economic implications. last week, my fomc colleagues and i discussed the latest economic developments and reviewed data that arrived since our previous policy meeting in december. at the conclusion of that meeting, i voted in support of the committee ’ s decision to maintain the target range for the federal funds rate at 4 - 1 / 4 to 4 - 1 / 2 percent. the views expressed here are my own and are not necessarily those of my colleagues on the federal reserve board or the federal open market committee. - 2this decision was made in support of our goals to achieve maximum employment and inflation at the rate of 2 percent over the longer run. i remain focused on setting policy to achieve the dual - mandate goals given to us by congress : maximum employment