Monetary policy cannot do much about long-run growth, all we can try to do is to try to smooth out periods where the economy is depressed because of lack of demand
BEN BERNANKEThe American people are among the most productive in the world. We have the best technologies. We have – great universities. We have entrepreneurs.
More Ben Bernanke Quotes
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If Wall Street crashes, does Main Street follow? Not necessarily.
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Under a cold turkey strategy, at each policy meeting the Federal Open Market Committee would make its best guess about where it ultimately wants the funds rate to be and would move to that rate in a single step.
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I served seven years as the chair of the Princeton economics department where I had responsibility for major policy decisions, such as whether to serve bagels or doughnuts at the department coffee hour.
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While rising delinquencies and foreclosures will continue to weigh heavily on the housing market this year, it will not cripple the U.S.
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I am confident that we will meet whatever challenges the future may bring.
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The risk that the economy has entered a substantial downturn appears to have diminished over the past month or so.
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The more important reason is that the research itself provides an important long-run perspective on the issues that we face on a day-to-day basis.
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I’d throw dollars out of helicopters if I had to, to stimulate the economy.
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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.
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Indeed, in general, healthy investment returns cannot be sustained in a weak economy, and of course it is difficult to save for retirement or other goals without the income from a job.
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Achieving price stability is not only important in itself, it is also central to attaining the Federal Reserve’s other mandate objectives of maximum sustainable employment and moderate long-term interest rates.
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Not all information is beneficial.
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It’s the price of success: people start to think you’re omnipotent.
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Life is amazingly unpredictable; any 22-year-old who thinks they know where they will be in 10 years, much less in 30, is simply lacking imagination.
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The central bank needs to be able to make policy without short term political concerns.
BEN BERNANKE