Powell says financial crisis accelerated economic changes

WASHINGTON — Federal Reserve Chairman Jerome Powell says the 2008 financial crisis accelerated major changes in the U.S. and global economies, leading to slower growth, lower inflation and lower interest rates.

Delivering remarks to a Paris economic conference, Powell says that since the depths of the Great Recession in early 2009, growth and inflation in the United States and other countries are averaging a full percentage point lower than before.

He says these changes are presenting new challenges to the Federal Reserve and other central banks in how they manage monetary policy.

Powell again sends a strong signal that the Fed is prepared to cut its benchmark policy rate for the first time in a decade to guard against rising economic uncertainties such as slower global growth and rising trade tensions.

Martin Crutsinger, The Associated Press