– February 4, 2011 Reading Time: < 1 minute

“Federal Reserve Chairman Ben Bernanke’s address to the National Press Club on Thursday was a remarkable blend of hubris, claimed innocence, and warnings. His opening remarks were condescending and patronizing to the journalists assembled:

Contemporary economic issues can be highly complex, and few nonspecialists have the time or the background to master these issues on their own. The public must therefore rely on the diligent reporting, clear thinking, and lucid writing of reporters [like you]…to help people understand what they need [to know] to make good decisions…

Claiming responsibility for rescuing the economy at the start of the Great Recession, he made no mention whatsoever of the Fed’s role in enabling the creation of the housing bubble in the first place, nor his failure to see it coming before it imploded. Instead, he said, “The early phase of the recovery, in the second half of 2009 and in early 2010, was largely attributable to the stabilization of the financial system [by the Fed], the effects of expansionary monetary and fiscal policies, and a strong boost to production from businesses rebuilding their depleted inventories.” Despite a decline in the economy in the latter part of 2010, Bernanke now claims he can see “increased evidence that a self-sustaining recovery … may be taking hold.”” Read more

“Bernanke Issues Warnings, Accepts No Blame” 
Bob Adelmann 
New American, February 4, 2011. 

Image by Salvatore Vuono / FreeDigitalPhotos.net

Tom Duncan

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