Federal Reserve Chairman Kevin Warsh has chosen a diverse and intellectually varied roster of economists and former central banking officials to lead five task forces he is creating to examine how the U.S. central bank functions.
The review will cover a wide range of subjects, from technical matters such as how the Fed manages its balance sheet, to forward-looking concerns like the economic impact of artificial intelligence.
Warsh first announced the task forces at a press conference following his inaugural policy meeting as Fed chairman, held June 16-17. On Thursday, the central bank revealed the names of the people who will lead each group.
According to a Fed statement, the groups “will operate independently, with a mandate to follow the evidence, provide candid feedback, and produce rigorous findings for the Federal Open Market Committee.”
Among those chosen are Harvard University economics professor Raj Chetty, known for pioneering the use of alternative and real-time data to study how households and communities are doing — he will help lead a panel focused on data. Tech investor Marc Andreessen will serve as one of three co-leads on a panel examining productivity and jobs. Greg Mankiw, who previously chaired the Council of Economic Advisers during the George W. Bush administration, will co-lead a task force on inflation.
Warsh explained the reasoning behind the review in a statement: “The U.S. economy has changed significantly over the last generation, and never more so than right now. Each task force will carefully consider whether policymakers’ means and methods, analytical tools and policy approaches can be improved upon.” He added, “The goal is straightforward: to ensure the Fed is best positioned to achieve our objectives in this consequential time.”
