The Fed could buy defaulted Treasuries or swap Treasury bonds that weren’t in default for those that were.

The central bank can “be an assist” on climate risk, says economist Claudia Sahm, but Congress sets the priorities.

Wrapped up in this year’s theme — “Macroeconomic Policy in an Uneven Economy” — is years of debate and controversy over who the economy serves.

The central bank raised its inflation forecast to 3.4% by year-end and expects to hike its benchmark interest rate twice by late 2023.

Powell told lawmakers Tuesday that the “effect on inflation will be neither particularly large nor persistent,” from the $1.9 trillion rescue plan.

Prices are soaring, but economists expect market conditions to change.

Fed programs and policy have helped ease economic pain during the pandemic. In its dwindling days, the Trump administration will end some of those emergency programs Dec. 31.

U.S. Federal Reserve Chair Jerome Powell said Congress “may need to do more” to cushion the blow from the pandemic.

Social distancing and wearing masks will help get the economy back to full strength, Powell said Thursday.

Trump has pressured the head of the Federal Reserve to lower interest rates. But he wasn’t the first American leader to do so.