Memo to Fed: Stop the News Conferences

In watching part of Jay Powell's news conference yesterday, I realized that what he is doing to just the opposite of good economics communication. When I write an article, give a lecture, or draft a textbook chapter, my goal is to convey maximum information in the fewest words possible. But when the Fed chair answers reporters' questions, he seems to be conveying the least possible information in the most words possible. 

Every answer the Fed chair gives is, more or less, a new paraphrasing of what the FOMC has already said in their statement or the chair has said many times before.  From the Fed's perspective, the ideal news conference contains no news and is mainly repetition and platitudes. "Our decisions are data-dependent....The future is uncertain....Blah blah blah...."

It is almost as if the news conference should come with a disclaimer: "I do not intend to say anything interesting. If you think I have said something interesting, please ignore because I misspoke."

Here is my recommendation: Stop giving news conferences. The Fed's policy decision and statement should stand by themselves. The Supreme Court does not give news conferences after announcing decisions. They explain their judgment once in writing and then let that stand. The Fed should do the same.