The economy looks stable. The Chicago Fed president isn’t relaxing

The economy is strong, prices are still too high, and the job market is sending mixed signals. The Federal Reserve is navigating all of it while fending off the most overt political pressure in its modern history. Ahead of the central bank’s closely watched meeting in Jackson Hole, Wyoming, the president of the Chicago Fed, Austan Goolsbee, gives his most candid read on what’s actually going on. He explains why tariffs, war in the Middle East, and six years above the 2% inflation target make this the most dangerous inflation environment he’s seen, what Kevin Warsh’s new leadership means for how the Fed operates, and why he’s a “grim optimist” on AI even as the hype keeps outrunning the results. This is an abridged transcript of an interview from Rapid Response, hosted by the former editor-in-chief of Fast Company, Bob Safian. From the team behind the Masters of Scale podcast, Rapid Response features candid conversations with today’s top business leaders navigating real-time challenges. Subscribe to Rapid Response wherever you get your podcasts to ensure you never miss an episode. There’s a big Fed meeting in Jackson Hole this week. I was wondering how much of what goes on there is…