College students as the Fed

Pace University won this year’s “National College Fed Challenge” — an annual collegiate competition hosted by the Federal Reserve on Friday.

How it works: Students evaluate the economy and present a monetary policy decision — just like the Fed's rate-setting committee — to a panel of judges who are working Fed officials.

• Pace’s team recommended holding interest rates at the current level, implementing “temporary price level targeting" and instituting a standing repo facility.

Details: They were also quizzed on the practicality of negative rates in the U.S. (something President Trump is keen on) and monetary policy's impact on income inequality.

• "Probably the most intense work ethic I've ever had is preparing for this competition," said the team's captain, Scarlett Bekus — who also noted that the team prepped seven days a week as the contest approached.

The team met Fed chair Jerome Powell. Marissa Kleinbauer, a junior on Pace's Fed team, tells Axios they predict Powell will keep rates on hold “until [the Fed] sees inflation consistently high for a severe amount of time.”

Go deeper:

• The market got the rate cuts it wanted
• International college student enrollment falls for third consecutive year