{"id":2471,"date":"2009-12-11T02:08:35","date_gmt":"2009-12-11T07:08:35","guid":{"rendered":"http:\/\/onthe8spot.com\/?p=2471"},"modified":"2009-12-11T02:08:35","modified_gmt":"2009-12-11T07:08:35","slug":"repost-bernankes-unfinished-mission-nytimes-com","status":"publish","type":"post","link":"http:\/\/onthe8spot.com\/index.php\/2009\/12\/11\/repost-bernankes-unfinished-mission-nytimes-com\/","title":{"rendered":"rePost:: Bernanke\u2019s Unfinished Mission – NYTimes.com"},"content":{"rendered":"

So why isn\u2019t the Fed<\/a> doing it? Part of the answer may be political: Ideological opponents of government<\/a> activism<\/a> tend to be as critical of the Fed\u2019s credit expansion as they are of the Obama administration<\/a>\u2019s fiscal stimulus<\/a>. And this has probably made the Fed reluctant to use its powers to their fullest extent. Meanwhile, a significant number of Fed officials, especially at the regional banks, are obsessed with the fear of 1970s<\/a>-style inflation<\/a>, which they see lurking just around the bend even though there\u2019s not a hint of it in the actual data.
\nBut there\u2019s also, I believe, a question of priorities. The Fed sprang into action when faced with the prospect of wrecked banks; it doesn\u2019t seem equally concerned about the prospect of wrecked lives.<\/strong>
\nAnd that is what we\u2019re talking about here. The kind of sustained high unemployment<\/a> envisaged in the Fed\u2019s own forecasts is a recipe for immense human suffering \u2014 millions of families losing their savings and their homes, millions of young Americans never getting their working lives properly started because there are no jobs available when they graduate. If we don\u2019t get unemployment down soon, we\u2019ll be paying the price for a generation.<\/strong>
\nSo it\u2019s time for the Fed to lose that complacency, shrug off that fatalism and start lending a hand to job creation.
\nvia Op-Ed Columnist – Bernanke\u2019s Unfinished Mission – NYTimes.com<\/a>.<\/p><\/blockquote>\n

\"Reblog<\/a>