Economists cite Fed policy mistake as top economic risk
Powell expected to discuss rate cut, policy outlook
Survey shows mixed opinions on policy rate, election risks

NASHVILLE, Tennessee, Sept 30 Reuters A mistake by the U.S. central bank in setting interest rates during the last phase of its inflation battle is the main risk that could undercut the economy over the next year, according to a new survey of economists released as Federal Reserve Chair Jerome Powell was set to speak on Monday.

Among 32 professional forecasters surveyed recently by the National Association for Business Economics, 39 cited a monetary policy mistake as the greatest downside risk to the U.S. economy over the next 12 months. By contrast, 23 regarded the outcome of the Nov. 5 U.S. presidential election as the biggest downside risk and the same number cited an intensification of the conflicts in Ukraine and the Middle East.

The responses in the survey, which was released on Sunday, show the intense focus on the Fed as it eases monetary policy while hoping to both keep inflation on a steady decline back to its 2 target and avoid a significant additional rise in an unemployment rate that has been increasing modestly for a year.

Powell is scheduled to address the association at 1255 p.m. CDT 1755 GMT in Nashville, Tennessee, and is expected to elaborate on the Fed39;s decision to cut its benchmark interest rate by half a percentage point at its Sept. 1718 meeting and on the considerations that…