Is 2025 a timely manner?

Fed is now closer to a level of borrowing costs it deems “sufficiently restrictive” to bring inflation down to its longstanding 2 per cent target in a timely manner.

FT 26 July 2023

https://www.ft.com/content/110bd237-cbf2-463d-b1b5-edcb98245851

For over 20 years, Williams and company have been estimating the long-run neutral (or natural) rate — known to economists as r-star.

 This is the interest rate at which the economy is humming along at its potential, with full employment and inflation at 2 per cent. R-star is a guiding light for central banks. 

Englund: R-star and predictions that inflation and rates will fall to pre-pandemic levels (englundmacro.blogspot.com)

Fed Chair Powell: Fed staff are no longer forecasting recession

Fed Chair Powell: A return to 2% inflation could come by 2025 (cnbc.com)

Fed Chair Powell: A return to 2% inflation could come by 2025

CNBC 26 July 2023

Fed Chair Powell: A return to 2% inflation could come by 2025 (cnbc.com)