The Indicator from Planet Money · Thursday, July 2, 2026
The Federal Reserve operates under a dual mandate of stable prices and maximum employment, a structure that is relatively rare among central banks. This dual mandate presents complications, particularly the potential tension between controlling inflation and fostering employment.
“The Federal Reserve cares a lot about the employment numbers too.”
“In fact, it's legally obliged to care about jobs.”
“That's because Congress gave the Fed what's known as a dual mandate: stable prices and maximum employment.”
“Complication number one: these two goals of maximum employment and price stability can be in tension with one another.”