Yellen: ‘Unlimited Data Cell Phone Plans’ Hurting Efforts to Boost Inflation

EXCERPT:

YELLEN: “Well, with respect to the global economy, we’ve been through a period in which there’s been a substantial appreciation of the dollar and that depressed for quite some time import prices. But that trend has now come to an end, and import prices are rising at a modest rate. So, I don’t see the global economy as at this point mainly responsible for the low inflation readings. You know, as I indicated in the, quote, [indecipherable], mentioned, I do think there are some special one-time transitory factors. These unusual changes reflecting the move to unlimited data plans for cell phones and large declines in some prescription drug prices. There may be more going on. And we’re watching inflation very carefully in light of low readings. I think it’s premature to conclude that the underlying inflation trend is falling well short of 2 percent, I haven’t reached such a conclusion. We are watching data very carefully."