Bernanke Expresses Doubts on Economic Recovery

Wednesday, October 05, 2011

Federal Reserve Chairman Ben Bernanke arrives to testify before the Joint Economic Committee on Capitol Hill in Washington, DC, October 4, 2011. (JIM WATSON/AFP/Getty Images/Getty)

In testimony before a Congressional committee on Tuesday, Federal Reserve Chairman Ben Bernanke warned lawmakers that the economic recovery U.S. "is close to faltering." Bernanke said the central bank was prepared to do more to bolster the economy, but that Congress needed to do more to encourage growth. In June, Bernanke had said, "growth seems likely to pick up in the second half of the year." Bernanke's grim assessment comes after the economy barely grew in the first half of the year, and there were no new jobs in August. Consumer confidence fell this summer to the lowest point since the recession.

Peter Spiegel, Brussels bureau chief with the Financial Times, looks at whether the U.S. could be headed for a double-dip recession, or even a depression.

Comments [2]

Angel from Miami, FL

Bernanke's really a weatherman guessing if it will rain or not. He comes out of his money chamber with a new prediction which then affects how the game players will use their money. The Fed needs a salesman as chair so they can trick the players into moving the money in a way that would bring about a more favourable economy. Rising and lowering interest rates just won't cut it anymore. On/off switches only work for light bulbs and interrogation subjects.

Oct. 05 2011 10:40 AM
Joe Guyon from Rock Hill, SC

After listening to the bank rep you just had on your show, I'm moving my accounts from Wells Fargo-formally Wachovia-to a local credit union. These guys just don't get it.

Oct. 05 2011 09:35 AM

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