Fed's George says the US economy is operating above its potential

Esther George, president of the Federal Reserve Bank of Kansas City, spoke earlier:

• Fed's George: Fed can take a wait and see approach, notable downside risks to economy

Comments now from the following Q&A:

• US economy is operating above its potential
• A herd mentality is not something she worries about on the Federal Open Market Committee
• The Fed remains apolitical
• People will not fin a political tone in Federal Reserve deliberations
• Fed did not make a mistake in hiking rates in September of 2018

• we should not assume that inflation or direct relationship between wages and prices is dead
• both foreign and domestic concerns drove Fed members' recent growth forecast downgrade
• we are not using the balance sheet as a policy tool
• Fed does not discuss balance sheet roll-off in terms of 'tightening' policy