Speaking to the IMF, Federal Reserve Chairman Ben Bernanke defends the Central Bank’s Monetary Easing

by Colonel on October 18, 2012

“Ben Bernanke has launched a staunch defense of the US central bank’s aggressive monetary easing amid attacks on the policy from officials around the world.

The Fed’s effort “not only helps strengthen the US economic recovery, but by boosting US spending and growth it has the effect of helping support the global economy as well”, Mr Bernanke said on the last day of International Monetary Fund annual meetings in Tokyo.

The Fed has faced a barrage of criticism over its decision to expand its balance sheet by a potentially unlimited amount in an attempt to counter high unemployment in the US. Opponents contend that the Fed’s third round of quantitative easing – nicknamed QE3 – has triggered volatile capital inflows into emerging markets, leading to an appreciation of their exchange rates, weighing on trade, and creating threats to financial stability.

” — Copyright 2012 Thomson Reuters

Previous post:

Next post:

Page 1 of 11