FACTBOX: Fed policy-makers' recent comments

CHICAGO (Reuters) - The following is a summary of recent comments by Federal Reserve policy-makers:

* Denotes 2008 voting member of the Federal Open Market Committee, which sets U.S. monetary policy.

FOMC STATEMENT, AUG 5:

"Economic activity expanded in the second quarter, partly reflecting growth in consumer spending and exports. However, labor markets have softened further and financial markets remain under considerable stress. Tight credit conditions, the ongoing housing contraction, and elevated energy prices are likely to weigh on economic growth over the next few quarters. Over time, the substantial easing of monetary policy, combined with ongoing measures to foster market liquidity, should help to promote moderate economic growth.

"Inflation has been high, spurred by the earlier increases in the prices of energy and some other commodities, and some indicators of inflation expectations have been elevated. The Committee expects inflation to moderate later this year and next year, but the inflation outlook remains highly uncertain.

"Although downside risks to growth remain, the upside risks to inflation are also of significant concern to the Committee. The Committee will continue to monitor economic and financial developments and will act as needed to promote sustainable economic growth and price stability."

* PHILADELPHIA FED PRESIDENT CHARLES PLOSSER, JULY 22:

"To keep inflation expectations anchored means that monetary policy-makers will have to back up their words with actions.

"We will need to reverse course. I anticipate the reversal will need to be started sooner rather than later."

* MINNEAPOLIS FED PRESIDENT GARY STERN, JULY 18:

"We can't wait until we clearly observe the financial markets at normal, the economy growing robustly, and so on and so forth. Our actions will affect the economy in the future, not at the moment. Forecasts play a critical role.

"We're pretty well positioned for the downside risks we might encounter from here. I worry a little bit more about the prospects for inflation."

KANSAS CITY FED PRESIDENT THOMAS HOENIG, JULY 16:

"It will be important for the Federal Reserve to monitor inflation developments and inflation expectations closely, and to move to a less accommodative stance in a timely fashion.

"When to begin this process, and how fast to move, will be difficult decisions.

"While a 2-percent federal funds rate may be appropriate in a period of extreme economic weakness, if maintained for too long it could allow inflationary pressures to build over time."