JACKSON HOLE, Wyo. (Reuters) - The Federal Reserve's governors are debating what is going on in the U.S. economy and how to set policy, the Fed's No. 2 official said on Thursday.

"The issue of overheating of the economy is being discussed within the Fed board," Fed Vice Chair Stanley Fischer told a room of labor activists who met with Fed officials to press them not to raise interest rates.

"Everything that's being argued here is being argued in the board as well," said Fischer.

(Reporting by Jason Lange and Ann Saphir; Editing by Bill Rigby)