FWIW, the Fed's website includes an FAQ on the 2% target.
by EricCartman (2024-02-27 09:03:28)

In reply to: That’s not the defined policy goal  posted by ufl

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Whether this is official policy or not, it is certainly the public expectation of the ideal inflation rate, since it is often cited as our official inflation target.




Yes. They toyed with this when they spent
by ufl  (2024-02-27 09:17:38)     cannot delete  |  Edit  |  Return to Board  |  Ignore Poster   |   Highlight Poster  |   Cannot reply

years trying to get the inflation rate up to their target even with zero interest rates.

Two points: They never came up with a definition of "longer run" and this was to be the (vague) policy when they missed the target on the down side.

I think that discussion is moot. We're back to the "two percent and bygones are bygones" formulation which we've had since they set a numerical target in the 1990's.

Targeting