Fed chief to shed light on the process

Federal Reserve Chairman Ben S. Bernanke moved Wednesday to break down further the aura of secrecy that historically has enshrouded the institution that sets interest rates.

The central bank said that starting Tuesday it would issue economic projections four times a year, up from the current twice-a-year schedule. And each forecast will look three years ahead instead of two.

With each quarterly projection, the Fed also will release a summary of the discussions among policymakers that led to each forecast.

In a speech to a conference on monetary policy in Washington, Bernanke called the changes an important advance in the Fed’s communications strategy.

Improving the public’s understanding of the Fed’s objectives and strategies reduces uncertainty, allowing businesses and people to make more informed financial decisions, the Fed chairman said.