Laura E. Jackson, Kevin L. Kliesen, Michael T. Owyang
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A Bad Moon Rising? Uncertainty Shocks and Economic Outcomes
the measurement of uncertainty and its effects on economic outcomes and financial market developments. A rise in uncertainty is widely believed to have detrimental effects on macroeconomic, microeconomic, and financial market outcomes and induce responses from monetary, fiscal, and regulatory policymakers. For example, at his press conference following the January 29-30 Federal Open Market Committee meeting, Federal Reserve Chairman Jerome Powell said,