WASHINGTON, Aug. 22 (Xinhua) -- Federal Reserve Chair Janet Yellen on Friday reaffirmed the U.S. central bank's position to maintain accommodative monetary policy for "a considerable time" considering uncertainties in the job market and inflation expectations.
"It likely will be appropriate to maintain the current target range for the federal funds rate for a considerable time after our current asset purchase program ends, especially if projected inflation continues to run below the Committee's 2 percent longer- run goal, and provided that longer-term inflation expectations remain well anchored," she said at the Fed's annual symposium in Jackson Hole, Wyoming.
Yellen said the decline in the unemployment rate over this period somewhat overstates the improvement in overall labor market conditions, considering substantially declined labor force participation rate, increasing part-time jobs and wage stagnation.
There is no simple recipe for appropriate policy in this context, and the Fed is particularly attentive to the need to clearly describe the policy framework it is using to meet these challenges, Yellen said.
As the U.S. job market kept improving in recent months and has reached a historical good level since May, disputes within the Fed on the timing to reduce accommodative monetary policy have intensified. Some Fed lawmakers have expressed support for quicker interests rise.
The Fed has held its annual symposium in Jackson Hole since 1981, which has also been attended by many foreign central bankers around the world. Two former Fed chairmen, Ben Bernake and Alan Greenspan, have used it to signal major policy changes during their terms. The theme of this year's meeting is Re-Evaluating Labor Market Dynamics.