We study the Federal Reserve's monetary policy communication in the post-2020 period, focusing on its impact on market expectations and term premia. We explore a channel whereby changing public perceptions of policy mistakes due to communication failures can raise risk premia. We document that the FOMC's post-framework communication sowed uncertainty about the Fed's reaction function, especially its response to inflation. Concerns about policy mistakes raised term premia, undermining the easy

Tag-uri: Inflatie