The more guidance a central bank can provide the public about how policy is likely to evolve the greater the chance that market participants will make appropriate inferences. – Ben Bernanke
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. – Ben Bernanke
Among other objectives, liquidity guidelines must take into account the risks that inadequate liquidity planning by major financial firms pose for the broader financial system, and they must ensure that these firms do not become excessively reliant on liquidity support from the central bank. – Ben Bernanke
The Federal Reserve has never suffered any losses in the course of its normal lending to banks and, now, to primary dealers. – Ben Bernanke
I think one of the lessons of the Depression – and this is something that Franklin Roosevelt demonstrated – was that when orthodoxy fails, then you need to try new things. And he was very willing to try unorthodox approaches when the orthodox approach had shown that it was not adequate. – Ben Bernanke
The Fed’s policy choices can always be debated, but the quality and commitment of the Federal Reserve as a public institution is second to none, and I am proud to lead it. – Ben Bernanke
I think most of us would agree that people who have, say, little formal schooling but labor honestly and diligently to help feed, clothe, and educate their families are deserving of greater respect – and help, if necessary – than many people who are superficially more successful. – 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. – Ben Bernanke
Banks will have to win the confidence of their customers through fair dealing, making good loans, and remaining financially healthy. – Ben Bernanke
The central bank needs to be able to make policy without short term political concerns. – Ben Bernanke
Sector-specific price declines, uncomfortable as they may be for producers in that sector, are generally not a problem for the economy as a whole and do not constitute deflation. – Ben Bernanke
In September 2008, the two largest housing mortgage companies called Fannie Mae and Freddie Mac, which were government-sponsored enterprises, which hold hundreds of billions of dollars of mortgages, because of the losses they took on the mortgages, they essentially became insolvent, and the government had to take them over. – Ben Bernanke
I came home from school one day, and there was a phone call for me. And I picked up the phone. They said, ‘This is the Harvard Admissions Department. We’d like to let you know that you’re accepted in the freshman class.’ And I said, ‘Come on, who is this really?’ – Ben Bernanke
Our mission, as set forth by the Congress is a critical one: to preserve price stability, to foster maximum sustainable growth in output and employment, and to promote a stable and efficient financial system that serves all Americans well and fairly. – Ben Bernanke
When historical relationships are taken into account, it is difficult to ascribe the house price bubble either to monetary policy or to the broader macroeconomic environment. – Ben Bernanke
Monetary policy is a blunt tool which certainly affects the distribution of income and wealth, although whether the net effect is to increase or reduce inequality is not clear. – Ben Bernanke
The downturn following the collapse of Japan’s so-called bubble economy of the 1980s was not as severe as the Great Depression. – Ben Bernanke
At the most basic level, a central bank must be clear and open about its actions and operations, particularly when they involve the deployment of public funds. – Ben Bernanke
Since World War II, inflation – the apparently inexorable rise in the prices of goods and services – has been the bane of central bankers. – Ben Bernanke
The best solution to income inequality is providing a high-quality education for everybody. In our highly technological, globalized economy, people without education will not be able to improve their economic situation. – Ben Bernanke
Long-term unemployment is particularly costly to those directly affected, of course. But in addition, because of its negative effects on workers’ skills and attachment to the labor force, long-term unemployment may ultimately reduce the productive capacity of our economy. – Ben Bernanke
Most of the policies that support robust economic growth in the long run are outside the province of the central bank. – Ben Bernanke
The tax code is very inefficient. Both the personal tax code and the corporate tax code. By closing loopholes and lowering rates, you could increase the efficiency of the tax code and create more incentives for people to invest. – Ben Bernanke
Banks need to continue to lend to creditworthy borrowers to earn a profit and remain strong. – Ben Bernanke