No commentary necessary. Ben Bernanke’s face says it all. It’s days like this when the head of the Fed really earns his money.
Source: Ace of Spades
This post was last modified on February 28, 2010
No commentary necessary. Ben Bernanke’s face says it all. It’s days like this when the head of the Fed really earns his money.
Source: Ace of Spades
This post was last modified on February 28, 2010
This website uses cookies.
View Comments (9)
I am not a big Bernanke fan, but jeez louise. This woman is expecting him to predict the future. Since the entire Financial System has proved that they cannot predict 2 minutes into the future, what does she expect him to say. I'll cut to the chase. Yes, these banks are going to pass on anything they have to pay. Does that answer the question?
Maxine Waters aside, Bernanke's response seems odd yet again. First he says that a change in the rate is small compared to the overall loan. Well, I suppose. But that "incremental increases are inconsequential" attitude is the same attitude that makes my taxes keep going up. I'm willing to bet if given the choice between a 7.45% mortgage and a 7.42% mortgage, Bernanke would choose the latter.
Next, he seems to be saying the Discount Rate will have no impact on other interest rates. That was true in the 80's and 90's before banks started using the Discount Window like an ATM, but not anymore.
If you have 3 gas stations and one station increases the price per gallon, even if that station wasn't used a lot, the transfer of demand to the other 2 stations will put pressure on them to increase their prices. Likewise, there is no way to separate one interest rate from the economy and keep it from indirectly affecting other rates. If Bernanke has devised a way to keep other rates constant by offsetting demand elsewhere, he certainly isn't revealing it in this clip.
Maxine Waters is to the U.S. Congress what Mo"Nique was to the movie Precious.
California voters, please send Maxine Waters back for some Continuing Education in Elementary Economics 101, she's a total embarrassment to you and our Nation.
Look at her district, look at the economic condition of her district, look at the policies that have created those conditions, & then look who supports them. You will conclude that most of those in her district get EXACTLY what they deserve.
You can read Bernake's thoughts -- the word coming out his ear looks like scream. (although I think it's screen).
The staff member that gave her these questions will probably be scolded. I think she must have the dumbest staff ever!
Couple that with herself being a moron and you have a nice picture of her constituents.
Waters is an idiot and, since she continues to be re-elected over and over, the people in her district are idiots, as well.
The problem is that Maxine Waters represents a constituency which depends on the government (and us) to pay for them.