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.
BEN BERNANKEAlthough low inflation is generally good, inflation that is too low can pose risks to the economy – especially when the economy is struggling.
More Ben Bernanke Quotes
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Among the largest banks, the capital ratios remain good and I don’t expect any serious problems . . . . among the large, internationally active banks that make up a very substantial part of our banking system.
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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
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If Wall Street crashes, does Main Street follow? Not necessarily.
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The amount of currency in circulation is not changing. The money supply is not changing in any significant way.
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Weaker currencies abroad mean a strong dollar, and a stronger dollar, together with a weak global environment, is a drag on the U.S. econom.
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It must be awfully frustrating to get a small raise at work and then have it all eaten by a higher cost of commuting.
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Developments in financial markets can have broad economic effects felt by many outside the markets.
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It is not the responsibility of the Federal Bank – nor would it be appropriate – to protect lenders and investors from the consequences of their decisions
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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.
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Nobody really understands gold prices and I don’t pretend to understand them either.
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I am confident that we will meet whatever challenges the future may bring.
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The U.S. government has a technology, called a printing press (or, today, its electronic equivalent), that allows it to produce as many U.S. dollars as it wishes at essentially no cost.
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If you want to understand geology, study earthquakes. If you want to understand the economy, study the Depression.
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The risk exists that, with aggregate demand exhibiting considerable momentum, output could overshoot its sustainable path, leading ultimately in the absence of countervailing monetary policy action to further upward pressure on inflation.
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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.
BEN BERNANKE