Setting Monetary Policy in a Shock-Prone World

How do central bankers address the challenges of setting monetary policy in the face of the global upheaval and heightened uncertainty caused by the post-pandemic inflation surge, new US tariffs, and the economic fallout from the wars in Ukraine and the Middle East? To find out, the GCFP co-sponsored a lively lunchtime conversation between Megan Greene, External member of the Monetary Policy Committee at the Bank of England, and Kristin Forbes, Professor of Management and Global Economics at Sloan. The discussion took place on April 13, 2026 before a packed classroom of over 130 Sloan students and faculty members. Ms. Greene highlighted the many, sometimes conflicting, data signals that policy makers have to interpret, and the complexities of communicating monetary policy decisions to the markets and the public. “Ms. Greene and Professor Forbes (who previously held that role at the Bank of England) are role models for the kind the clear thinking and dedication that policymakers need to do this important work, and hopefully are an inspiration for our students who are interested in a career path that includes public service,” noted Professor Deborah Lucas, Director of the GCFP.  The session was held under the Chatham House Rule, with no reporters, press, or recordings.