Austan Goolsbee Is Worried the Economy Is Overheating

Chicago Fed President Austan Goolsbee expresses concern that the U.S. economy is overheating, with inflation remaining elevated and the Fed's 2% target moving further away. Despite an unusual labor market with low hiring and firing, GDP growth is being driven primarily by AI and data center investment, creating uncertainty about how central bankers should respond. Goolsbee warns that another economic shock could emerge soon and discusses the Fed's evolving approach to managing these challenges.