We report (in person!) this week from the SuperReturn Private Credit conference in Chicago, where we chaired day one, moderated an LP panel, and interviewed the keynote speaker.
The event always attracts top-shelf credit investors and managers, and 2021 is no exception. Sifting through sentiments on the economy and markets from various panels, we discovered interesting findings.
In our conversation with UChicago economist and former Federal Reserve governor, Randall Kroszner, we explored the contrast between two US economies: one consumer-facing, one business-facing. Retail and restaurants are the object of the Fed’s lower-for-longer rate approach, while B2B is on a hiring tear and the focus of inflation worries.
How can one monetary policy cover both? Dr. Kroszner agreed this is a fundamental challenge. But he cited a study in which differing state incentives in the Sioux City region resulted in similar employment outcomes.