Fed’s Yellen Says ‘Worth Pulling Out All Stops’ on Stimulus

Discussion in 'Wall St. News' started by ASusilovic, Jan 4, 2009.

  1. Jan. 4 (Bloomberg) -- The U.S. economy faces a “serious risk” of stagnating for an extended period of time and “it’s worth pulling out all the stops” on fiscal stimulus, said Federal Reserve Bank of San Francisco President Janet Yellen.

    “The current downturn is likely to be far longer and deeper than the ‘garden-variety’ recession,” Yellen said in the text of a speech today in San Francisco. “If ever, in my professional career, there was a time for active, discretionary fiscal stimulus, it is now.”

    Yellen’s remarks indicate that support for new stimulus to revive the economy is gaining momentum within the central bank. Chicago Fed Bank President Charles Evans endorsed such policy yesterday, following Fed Chairman Ben S. Bernanke’s lead in October.

    “Although our economy is resilient and has bounced back quickly from downturns in the past, the financial and economic firestorm we face today poses a serious risk of an extended period of stagnation,” which may intensify financial-market conditions, Yellen, 62, said during the annual meetings of the Allied Social Science Associations and the American Economic Association.

    “It’s worth pulling out all the stops to ensure those outcomes don’t occur,” she said.

    Pulling out all stops ?....:D :D :D
  2. Banjo


    Pulling out all stops ?....

    = DRAINO
  3. Stosh


    Sounds like she is a team player.
  4. The fed has fired their wad.

    The law of diminishing returns has already taken grasp of their feeble policies and dulled their tools.
  5. Historically, whenever a government has gone hog-wild with monetary ease and print-money, it's been because they were in BIG BIG trouble...

    Whatever the short-term effects, nearly ALL American citizens will be suffering greatly in the not too distant future.. :mad:
  6. Pulling out all the stops - Ensuring our national indebtedness soars to new levels. what happens when the stimulus is over and the new debt hits the books?
  7. tradersboredom

    tradersboredom Guest

    The fact is that this is GLOBAL recession led by the US economy.

    So the US economy goes down so does it's trading partners. etc.

    Even Russia's markets are down and Brazil, and China, and Japan, and India and Saudi and europe.

    so thisn't just a US problem but a global credit and banking problem.

    overleverage or financial fraud should be able to bring down markets.

  8. tradersboredom

    tradersboredom Guest

    overleverage or financial fraud 'should NOT' be able to bring down markets.

    war will always bring down economies and even political regimes though and war does destroy wealth.