Kaplan speaks in New Mexico
- Q2 GDP estimate was surprisingly low
- First quarter GDP was disappointing
- Q2 held down by inventory drawdown
- Headwinds from dollar and energy should dissipate
- Sees 2% GDP this year but could be 1.8%-1.9%
- Growth will still be enough to lower jobless rate
- Gradually working towards 2% inflation
- Monetary policy cannot solve structural drags on growth
- Neutral rate has gone down
- Fed policy isn't as accommodative as it might appear
These sentiments are similar to what Kaplan's said before.