The US Federal Reserve has released its assessment of the economy in a document known as the Beige Book. It says policymakers have seen little to no change in economic activity but cited risks from tariffs and general "uncertainty."



The report, released on Wednesday, is based on the Fed's findings from interviews with businesses in the central bank's 12 districts.



It found consumer spending was flat or declining because wages are failing to keep up with inflation. It also said that tariffs are starting to have an impact on prices.



The report says overall employment did not undergo any major changes. However, uncertainty and weaker demand have left businesses in seven districts hesitant to hire workers. Two districts reported an increase in layoffs.



Fed Chair Jerome Powell last month cited concern over risks to the labor market, hinting that policymakers may respond by cutting interest rates. The Fed is ready to hold its next policy meeting in two weeks.
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Quiz 1:
According to the Beige Book report released on September 4, 2025, what was the overall assessment of economic activity?
A. Increasing
B. Decreasing
C. Flat or declining
D. Strongly improving

Quiz 2:
What was one factor that contributed to a decline in consumer spending as per the report?
A. High wages
B. Low inflation
C. Wages failing to keep up with inflation
D. Weaker demand

Quiz 3:
In how many districts were businesses hesitant to hire workers, according to the Beige Book report?
A. 5
B. 7
C. 9
D. 12