Philip Jefferson, vice-chairperson of the Federal Reserve, said the central bank's goal of maintaining price stability and achieving full employment would help promote economic mobility in the US. "In a tight labour market, when individuals move up to higher positions, jobs are freed up for newcomers or less educated workers," Mr. Jefferson said on Tuesday in remarks prepared for an economic mobility summit hosted by the Federal Reserve in Philadelphia. The remarks come as Fed officials are refocusing on the risk of inflation, which could be driven up by the Trump administration's ongoing disputes with US trading partners by raising the price of thousands of imported goods. Mr. Jefferson said tighter labour markets could also improve income inequality by raising wages for lower-income groups. Price stability, he said, was vital to sustaining such progress. "Low and stable inflation ensures that the nominal wage growth I just mentioned is not eroded in real terms and that necessities remain affordable," he said.