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Bernanke: We're Prepared to Dole Out More Stimulus

Says he expects more job creation once 'temporary shocks' pass

By Kevin Spak,  Newser Staff

Posted Jul 13, 2011 11:20 AM CDT

(Newser) – The Federal Reserve is ready and willing to pour more money into the economy if it has to, Ben Bernanke told Congress today. “The possibility remains that the recent economic weakness may prove more persistent than expected … implying a need for additional policy support,” Bernanke said. “The Federal Reserve remains prepared to respond.”

The comments were Bernanke’s first since June’s ugly jobs report, reports Bloomberg. Bernanke called the report “disappointing,” but attributed it to temporary issues like the spike in energy prices. “Once the temporary shocks that have been holding down economic activity pass, we expect to again see the effects of policy accommodation reflected in stronger economic activity and job creation,” he said. Stocks climbed on the statement, with the Dow up about 150 points at midday.

Federal Reserve Chairman Ben Bernanke testifies on Capitol Hill, July 13, 2011, before the House Financial Services Committee where he delivered the semiannual Monetary Policy Report.
Federal Reserve Chairman Ben Bernanke testifies on Capitol Hill, July 13, 2011, before the House Financial Services Committee where he delivered the semiannual Monetary Policy Report.   (AP Photo/Carolyn Kaster)
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COMMENTS
Showing 3 of 66 comments
Non-deep-thinker
Jul 13, 2011 4:53 PM CDT
When more money goes out than comes in, a lot more, eventually you're going to have a real bad situation.  That situation is now.  And when it's public policy to keep doing so, because printing more monopoly money is the ony thing they know, and they have no other ideas, you're going to have some push-back from the people who have enough common sense to know that the answer to heroin is not 'give us more heroin'.
stevsie
Jul 13, 2011 3:23 PM CDT
I love the liberal/conservative Love Fest that's going on here... at least we can all agree on something. Now maybe we can agree that partisanship is the new racism.
gilgordan
Jul 13, 2011 2:32 PM CDT
There was a time in this fair land when government did little, except defend its borders, overlook state commerce, and manage a few Laws on the books. This simplistic governance gave rise to a rapidly advancing market nation, selling and innovating its resources for the betterment of individuals and each other. Hark the call of financiers, like Hamilton who for some reason established gold and silver form of bimetallism to back our debt. But from the beginning a false trading ratio was established to benefit those only savvy to the ways of finance. This has continued over the last 300 years with those in charge benefiting themselves and their inner circle. Why would anyone expect this to Change. The FED, The Treasury, The White House, The Congress, The Court, all are complicit with, as the conservatives like to state, the Founding Fathers. Conservatives love the old ways based on simplicity, and lack of governance, and gave the US such hits as Child Labor, Slavery,Illiteracy, and Poverty on the backs of the majority. Given a chance to return to the Days of the Glory Past, they would do so in a heart beat. Today's Spinning of the facts by Conservatives and Liberals is a joke to the real meaning of the first settlers and marketers in this land. The Pilgrims disregarded the indigenous rights of ownership, The King disregarded the rights of the Colonist, the Colonist disregarded the  indigenous again and again, until it was declared owned by Government Interest for Sale to those not of Native Background, but only those of Gold and Silver. The Crime of America is just that, take from those less educated, organized, and unable to stand up to those who "Have". This is the history of our Founders, continued today as it was in the past, with the only difference in the number of people it enslaves.
 

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