Assessment of the Wash Hawkish Monetary Policy from the Abed Perspective and Reflection on Crisis Decision-Making

According to a report by Jinjing Data, RSM Chief Economist Joseph Brusuelas conducted an in-depth assessment of Federal Reserve official Kevin Woeh’s monetary policy stance from the perspective of the Abedoe economic model. Woeh has shown a clear inclination toward a hawkish position in his policy orientation, consistently supporting rate hikes in public statements and during his tenure at the Federal Reserve.

Hawkish Policy Logic Dominated by Policy Orientation

Brusuelas analyzed Woeh’s speech records and public remarks, indicating that Woeh has demonstrated a consistent tightening bias on monetary policy issues. While this hawkish stance may align with inflation control needs in normal economic environments, it exposes the limitations of his decision-making framework during special periods.

Policy Judgment Bias During Financial Crisis

During the 2007-2008 global financial crisis, Woeh made significant errors in policy judgment. At a critical moment when the U.S. banking system was on the brink of collapse and credit markets were frozen, he still regarded inflation as the primary risk and failed to fully recognize the true nature of the Great Depression’s impact. This lag in policy decision-making directly affected the effectiveness of crisis response and has become an important reference for evaluating his monetary policy capabilities.