The US central bank, the Federal Reserve’s chairperson Jerome Powell has had to deal with a lot in the American and global economy during his tenure, ranging from a global pandemic requiring a massive expansion in the Fed’s balance sheet to its subsequent unwind and the sharpest rise in interest rates in four decades and most importantly two Trump presidencies. He surely would have learnt a thing or two. And hence it is no surprise that this speech to the graduating class of 2025 at Princeton University is full of wisdom, worth sharing with kids about to set out to make a mark in their lives:
“After graduation, I had no plan and no job, and wound up putting labels on shelves in a warehouse for six months. I didn’t feel great about that. One of my closest friends was getting a master’s at Stanford, and I could only think—”Nice going, Jay. You really nailed it.” In hindsight, that time in the warehouse was a blessing, and exactly what I needed. The next fall I entered law school, and for the first time I was highly resolved to make the most of the opportunity.
You know what? We all move at our own pace, and that’s ok. Fifty years later I can tell you something I did not know then: The vast majority of what you need to know about work, about relationships, about yourself, about life, you have yet to learn. And that itself is a tremendous gift. Over the remainder of your life, you can—you must—continue to educate yourself and to grow as a person, becoming more focused on what really matters, more widely knowledgeable, better read, more disciplined, and more strategic. But also wiser, kinder, more empathetic, more generous, more loving, more forgiving of others and of yourself. Each of us is a work in progress. The possibilities for self-improvement are limitless.
Another thing I have realized is that while hard work, determination, and creativity matter a great deal to success in life, luck plays a big role too. All of us here are tremendously lucky. I know that, at a handful of critical times in my life, I got really lucky—beginning at birth.
My parents were well educated. They gave the six Powell kids a safe, loving home, and placed a high value on learning. They gave us everything we needed to thrive. That bit of luck led to the good luck I share with all of you, the chance to earn a degree from America’s finest university.
Another thing I have learned along the way is that, as you strive in coming years to reach your full potential, you will need to take risks and make mistakes.
Everyone makes mistakes. Take it from an expert! But the bigger mistake is to avoid taking risks.
If you aren’t failing from time to time, you aren’t asking enough of yourself. Sooner than you think, many of you will be asked to assume leadership roles. It is very common to feel, as I once did, that you are not ready. Just know that almost no one is truly ready. All I can say is go for it! Throw yourself into the deep end of the pool. Believe in yourself. Take risks. When you fall down, get up! Repeat cycle. And as you do assume higher responsibility, understand that a big part of your job is to bring along the people behind you. Be the leader that people can learn from, the one that people want to work for.”
Beyond personal glory, he emphasizes the need for each one of us to think about giving back and contributing to public service:
“…the world needs more from you than personal achievements and individual success. I strongly urge you to find time in your careers for public service.
Since the founding of this great democracy 250 years ago, generation upon generation have assumed the burden and the honor of moving us closer to the ideal that all are created equal. Now, it’s your turn. I ask you to take a minute and realize how the quest for these values has led us to this point in our history. We lead the world in so many ways, including in scientific innovation and economic dynamism. Our great universities are the envy of the world and a crucial national asset. Look around you. I urge you to take none of this for granted. When you look back in 50 years, you will want to know that you have done whatever it takes to preserve and strengthen our democracy, and bring us ever closer to the Founders’ timeless ideals.
Those of you who are not entering the military or other public service may wonder, what is so great about public service? I’ll give you a recent example. In my years at the Fed, the global economy has experienced a fair amount of turbulence, and one outright crisis—the acute phase of the COVID-19 pandemic. With little warning, economies around the world came to a hard stop. Critical financial markets were near collapse. The possibility of a long, severe, global depression was staring us in the face. Everyone turned to the government, and to the Federal Reserve in particular as a key first responder. Career civil servants at the Fed who are veterans of previous crises stepped forward and said, “We got this.” We took a range of aggressive measures to supply credit to the economy—many of them unprecedented—while the financial sector recovered. Others in government and the private sector did their part too. Through the joint efforts of many, we avoided the worst outcomes. It is hard to imagine the pressure people face at a time like that. Their collective efforts saved our economy, and the career civil servants involved deserve our respect and gratitude; it is my great honor to serve alongside them. That’s what public service is like.
With that luck that I mentioned comes great responsibility. You may recognize this from the Gospel of Luke: “From everyone who has been given much, much will be demanded.”
As you navigate the world of bright possibilities that awaits you, I urge you to take on the challenge and the opportunity to serve your fellow citizens. You will never regret that choice.
A very last, and critical point. Your life matters—to the people you love and to the broader world. Fifty years from now, you will want to be able to look in the mirror and know that you did what you thought was right, in every part of your life. At the end of the day, your integrity is all you have. Guard it carefully.”
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