Ben's advice in a nutshell? "Be bold."
Ben Bernanke began his 4 year appointment as Fed Chairman and 14 year term on the Federal Reserve Bank's Board of Governors February 1, 2006 by President George H.W. Bush. He was appointed to a second term as the Chairman on February 1, 2010 by President Barack Obama. Dr. Bernanke received his B.A. in economics from Harvard in 1975 and a Ph.D. in economics from the Massachusetts Institute of Technology in 1979 (Federal Reserve, 2011).
The article in Bloomberg hits on a few key spots where Bernanke has had to be bold in his actions in an effort to keep the U.S. economy out of a depression and major financial crisis. The stakes were very high with not just the U.S. economy hanging in the balance but also economies around the world.
Since taking over his position as Fed Chairman, Bernanke has had to deal with some pretty major shocks to the economy. The housing bubble burst in 2007, spurring a financial crisis that could easily have cast the country into a depression period without swift action. In April of 2010 he said that "policy makers must respond forcefully, creatively and decisively" and "crises that are international in scope require an international response." In his two terms as Fed Chairman, Bernanke has had the difficult task of steering the country clear of another depression while avoiding possible inflation and deflationary periods.
"He is, by far, the most activist chairman we've seen in modern history," said former Fed Governor Lyle Gramley. "No other chairman has had a crisis of this magnitude to deal with, other tha...
... middle of paper ...
... do so much to influence the economic recovery. We will need to demand our politicians discontinue their political gamesmanship and solve the economic problems we face as a country.
Anonymous. (2011). Official Government website. Bureau of Labor Statistics.Retrieved September 1, 2011 from, http://www.bls.gov/
Anonymous. (2011). Official Government website. The Federal Reserve. Retrieved September 1, 2011 from http://www.federalreserve.gov/default.htm
Aversa, Jeannine. (August 26, 2011). Bloomberg. Bernanke Scholar Advises Bernanke Fed Chief to Be Bold on Monetary Policy. Retrieved on September 1, 2011 from, http:// www.bloomberg.com/news/2011-08-26/bernanke-scholar-advises-bernanke-fed-chief-to-be-bold-on- monetary-policy.html
Mankiw, N. Gregory. (2009). Principles of Macroeconomics. Sixth Edition. Mason, OH. South- Western, Cengage
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