People ride scooters past the Marriner S. Eccles Federal Reserve building in Washington, D.C., U.S. Photographer Erin Scott/Bloomberg
TOKYO: New York Federal Reserve President John Williams said on Wednesday central banks must "respond relatively strongly" when inflation begins to deviate from their target.
Given high uncertainty around the economic impact of U.S. tariffs and trade policy, central banks should focus on avoiding taking steps where the "cost of getting it wrong far outweighs the benefits," rather than aiming for the perfect solution to the problem, he said.
