“...the Federal Reserve has the capacity to operate in domestic money markets to maintain interest rates at a level consistent with our economic goals” GoalInterestLevelsEconomicCapacityRateInvestingConsistentReservesFederal ReserveInterest Rate Author:Ben Bernanke
“The lesson of history is that you do not get a sustained economic recovery as long as the financial system is in crisis.” LongEconomicLessonsCrisisFinancialRecoveryFinancial SystemEconomic Recovery Author:Ben Bernanke
“The crisis and recession have led to very low interest rates, it is true, but these events have also destroyed jobs, hamstrung economic growth and led to sharp declines in the values of many homes and businesses.” HomeJobsValuesGrowthInterestEconomicEventsLowsCrisisRateDestroyedDeclineEconomic GrowthRecessionsInterest RateMany Homes Author:Ben Bernanke
“Developments in financial markets can have broad economic effects felt by many outside the markets.” FeltEconomicEffectsDevelopmentFinancialBroadsFinancial Markets Author:Ben Bernanke
“If I am confirmed, I am confident that my colleagues on the Federal Open Market Committee and I will maintain the focus on long-term price stability as monetary policy's greatest contribution to general economic prosperity and maximum employment.” IfsLongTermFocusEconomicPolicyProsperityEmploymentLong TermContributionStabilityCommitteesColleaguesMaximumMonetaryMonetary PolicyEconomic ProsperityPrice Stability Author:Ben Bernanke
“The basic prescription for preventing deflation is therefore straightforward, at least in principle: Use monetary and fiscal policy as needed to support aggregate spending, in a manner as nearly consistent as possible with full utilization of economic resources and low and stable inflation. In other words, the best way to get out of trouble is not to get into it in the first place.” WayFirstsUseBusinessPrinciplesSupportEconomyTroubleEconomicPolicyNeededLowsResourcesEconomicsSpendingBest WayFinanceConsistentStableInflationStraightforwardMonetaryPrescriptionsPreventingUtilizationDeflationFiscal PolicyEconomic Resources Author:Ben Bernanke
“Over the years, the U.S. economy has shown a remarkable ability to absorb shocks of all kinds, to recover, and to continue to grow. Flexible and efficient markets for labor and capital, an entrepreneurial tradition, and a general willingness to tolerate and even embrace technological and economic change all contribute to this resiliency.” YearsKindGrowsChangeAbilityTechnologyEconomyEconomicEconomicsTraditionLaborEmbraceEntrepreneurAll KindsShockRemarkableWillingnessEfficientTolerateTechnologicalFlexibleEntrepreneurialResiliencyEfficient MarketsLabor And CapitalEconomic Change Author:Ben Bernanke
“There's no denying that a collapse in stock prices today would pose serious macroeconomic challenges for the United States. Consumer spending would slow, and the U.S. economy would become less of a magnet for foreign investors. Economic growth, which in any case has recently been at unsustainable levels, would decline somewhat. History proves, however, that a smart central bank can protect the economy and the financial sector from the nastier side effects of a stock market collapse.” StatesTodaySidesGrowthChallengesLevelsUnitedCasesUnited StatesEconomyEconomicEffectsSeriousProtectProveSmartEconomicsFinancialSpendingFinanceConsumersInvestorsDeclineCollapseEconomic GrowthMagnetSide EffectsCentral BanksMacroeconomicsStock Price Author:Ben Bernanke
“The economic repercussions of a stock market crash depend less on the severity of the crash itself than on the response of economic policymakers, particularly central bankers.” EconomyEconomicDependsEconomicsResponseCrashBankersRepercussionsSeverityMarket CrashStock Market Crash Author:Ben Bernanke
“House prices have risen by nearly 25 percent over the past two years. Although speculative activity has increased in some areas, at a national level these price increases largely reflect strong economic fundamentals.” YearsTwoPastHouseStrongLevelsEconomicActivityPercentAreasIncreaseFundamentalsTwo YearsRisenOver The PastHouse Prices Author:Ben Bernanke
