Central Banks in a Bind + Could AI Replace the FOMC?

Posen sees the Fed well behind on inflation and warns simultaneous G7 fiscal strain could force a major bond-market bailout, possibly France.

• Fed behind the curve: Adam Posen says the FOMC is "way behind the curve" on inflation and could be 75bps (three hikes) higher by April, but a December pause (skipping October) is fine if not seen as panicked or political.
• Warsh's five task forces scrutinized: Posen calls the jobs/AI task force the most biased and "cheerleading about AI," while flagging the communications task force as grappling with a real tension between transparency/accountability and market moral hazard.

Themes, sentiment and reasons are AI-written paraphrases, checked so they never quote an episode. They may contain errors. Not investment advice. Episodes remain the property of their creators.