The Federal Reserve will issue more economic forecasts each year, provide more information in them and take other steps to improve the central bank's communications with Wall Street and Main Street, Fed Chairman Ben Bernanke announced this afternoon.
Specifically, the Federal Reserve's economic projections will be released four times a year, rather than the current twice a year. The projection horizon will be extended to three years from two years.
The forecasts, which have been made for nearly 30 years, will continue to include the pace of economic growth, the unemployment rate and inflation. However, more details about Fed policymakers' thinking about future economic conditions and risks to their outlook will accompany the projections.
The first expanded set of projections will be released next Tuesday together with the minutes of the Fed's October meeting, Mr Bernanke said.
The announcement marks the biggest move yet by Mr Bernanke to put his imprint on the Federal Reserve. He took the helm in February 2006, succeeding longtime chairman Alan Mr Greenspan. One of Mr Bernanke's signature issues since taking over the Fed has been an effort to make the institution - considered one of the most mysterious in Washington - more open.
Mr Greenspan did make progress on that front in his 18 1/2 years, but Mr Bernanke has sought to open the door further, providing investors, businesses and individuals with more insights into the thinking of Fed policymakers.
Doing that, Mr Bernanke said, helps the Fed do its job: keeping the economy and inflation on an even keel.