A Conversation with Federal Reserve Chair Jerome Powell 

Hi, ex-ante central banks focus on shocks absorption to return to the steady state but underweight allocation efficiency by hampering the price discovery mechanism. So this distorsion create a potential negative externality by taxing future generations (asset prices) and notably endanger the social pact (redistribution effect). This unstable equilibrium could lower the long term target ie the growth potential (lower productivity due to a negative Shumpeterian effect, higher markups, lower household formation and fertility). Ex-post, central banks are currently agents of the secular stagnation hypothesis in my opinion. So achieving a lower long term target, is it worth the sacrifice of the invisible hand? I think allocation efficiency should regain some attention if a free market economy is the collective choice.