Mary Altaffer / AP Federal Reserve Chairman Ben Bernanke. Posted on 11/08/2007 7:07:58 AM PST by Lazamataz
Federal Reserve Chairman Ben Bernanke said on Thursday the U.S. economy has been resilient in the face of credit market strains but it faces risks on both the growth and inflation fronts.
Mary Altaffer / AP Federal Reserve Chairman Ben Bernanke.
"Financial market volatility and strains have persisted," Bernanke said in testimony prepared for delivery to the congressional Joint Economic Committee. "In addition, further sharp increases in crude oil prices have put renewed upward pressure on inflation and may impose further restraint on economic activity."
Bernanke said that when Fed policy-makers met on Oct. 30-31, they saw both downside risks to economic growth and "important upside risks" to inflation, citing oil and other commodity price increases and a drop in the dollar's value.
He is now agreeing with ME. Inflation is on the horizon and an economic slowdown in the next 1-1.5 years is inevitable.
I just hope we don’t get the problems until after the Presidential election next year.
A person could program a computer to say the same thing.
they will up the rate that they just lowered
where’s greenspan?
Ditto.
It’s President Weakdollar’s mess. He should have to deal with any downturn, though I doubt he knows how.
Ignore the jargon. They are going to keep lowering rates.
You mean the guy that created this mess? He's out hawking books to help the 'Rats take the white house next year.
Lining us up for a rate increase?
We are at 3.9% growth last Qtr. An extremely good growth range to be at.
The economy will not fall into recession....However, we will be told that it is, in one (regardless of facts) by the MSM all through 08 -
Get your facts straight. It’s Greenspan’s mess. He’s the one who allowed the subprime mess to start AND continue, under both Clinton and Bush.
Bernanke is just the next idiot in line.
You believe government statistics ?
Liars and statistics, you know. And that’s a bipartisan statement - Carter was the first to start revising the way these are calculated, and every president after kept on.
The difference would be that Greenspan would see it through and allow the credit crunch to take its course. In the long term, it’s the better plan.
Bernanke’s path will just keep pushing it off with lower interest rates, further encouraging borrowing, making the situation worse, decreasing savings and spawning 70s-era stagflation.
It’s not a matter of fault, it’s a matter of ability to fix.
Greenspan’s the legend, not Bernanke. (Besides, wasn’t Bernanke one of the Fed members during the Greenspan era? It’s not like any of them are ignorant, innocent stooges of Wizard Greenspan’s secret concoctions.)
W should have fired Greenspan sometime in 2002 (Greenspan offered to resign in his own roundabout way), so it is still W’s mess.
“Recession , downturn BS talk has been constant for 6 years”
If I recall, it wasn’t until August that the Fed and the Admin. acknowledged the wreck in the housing market
Interesting how the bond market is having absolutely no reaction to his comments about inflation. Perhaps because he doesn’t as have much control over things any longer.
“Inflation only through energy related costs (short term) is what we might see. Will be offset by other variables (productivity).”
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Just curious....do you eat?
Have you seen food prices lately?
How does a bowl of warm “productivity” taste?
Inquiring minds want to know.
Greenspan didn't just "allow" the subprime mess he ENCOURAGED it.
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