Fed Warns Congress

[chinaco]

NEW YORK (CNNMoney) -- Remember that crazy, bitter debt-ceiling debate this summer? The one that created a half-baked debt reduction plan and led to the country's first-ever credit-rating downgrade?
Federal Reserve Chairman Ben Bernanke certainly does. And he had a simple message for Congress on Friday: Don't do it again. Seriously. Never, ever, ever again.
His reasoning: All that legislative brinksmanship hurt the economy.

Bernanke to Congress: No more crazy debates. Please. - Aug. 26, 2011

Very interesting comment. I am glad he stepped up and said it.

 

[MasterBlaster]

Bernanke to Congress: No more crazy debates. Please. - Aug. 26, 2011

Very interesting comment. I am glad he stepped up and said it.

There is a long history of various Fed Chairmen telling Congress to get their fiscal house in order.

 

[FIREd]

A warning that will probably fall on deaf ears.

 

[Purron]

A warning that will probably fall on deaf ears.

Until the next election.

 

[Packman]

These politicians get me very irritated. I get email messages from one of our congressman and he had the guts to send one out patting himself on the back for getting the budget bill passed. Is he kidding? What an idiot! At least I know who I am NOT voting for, now.

 

[ERD50]

These politicians get me very irritated. I get email messages from one of our congressman and he had the guts to send one out patting himself on the back for getting the budget bill passed. Is he kidding? What an idiot! At least I know who I am NOT voting for, now.

And someone down the street got that email, and said "Great, what a dynamic leader! I know who I am going to vote for!".

And so it goes...


-ERD50

 

[flyfishnevada]

Yeah, it was the debt ceiling debate the hurt the economy. Right! If only they hadn't argued over how much money we don't have but we were going to spend anyway we'd all be on easy street.

As if this wasn't some kind of political play on the part of the administration to distance themsleves from the debate and place blame solely on Congress. They are all clowns.

 

[chinaco]

Bernanke's message was - Negotiate and work out a solution, don't take an all or nothing position that leads to no progress. It could result in either:

1. A direct financial crisis (e.g., default, emergency shutdown, etc). Which will hurt the economy.
2. A crisis of confidence and uncertainty. Which will hurt the economy.