Dallas Federal Reserve Bank
President Richard Fisher said the proposed $700 billion rescue of
financial institutions backed by Fed Chairman Ben S. Bernanke would
plunge the U.S. government deeper into a fiscal abyss.
The plan by Treasury Secretary Henry Paulson to buy troubled
assets from financial institutions would put "one more straw on the
back of the frightfully encumbered camel that is the federal
government ledger," Fisher said today in the text of a speech in
New York. "We are deeply submerged in a vast fiscal chasm."
Fisher made the comments as the central bank expands its role
in the biggest government intrusion into markets since the New
Deal, with Bernanke trying to persuade Congress to approve
Paulson's bailout plan.
Bernanke has already cut the benchmark interest rate at the
most aggressive pace in two decades, invoked emergency powers to
loan to securities firms and pumped billions of dollars into banks
to try to restore liquidity. Also, the central bank loaned $85
billion this month to American International Group Inc.
"The seizures and convulsions we have experienced in the debt
and equity markets have been the consequences of a sustained orgy
of excess and reckless behavior, not a too-tight monetary policy,"
Fisher said to the New York University Money Marketeers Club.
"I was, and I remain skeptical, that lowering the fed funds
rate is the most effective antidote," he said. "Rates held too low,
too long during the previous Fed regime were an accomplice to that
reckless behavior."
Kiss Bernanke Goodbye
Bernanke day's are now numbered. Goodbye and good riddance.
Kiss the Paulson plan goodbye too. It is now dead on arrival.
But don't celebrate yet. Keep Faxing and Calling! Pour On The Pressure.
Fax Your Congressional Representative.
Posted by treid4dou on 26th of Sep 2008 at 09:05 am
Well....seems EVERY DAY,WE ADD MORE REASONABLE,
INTELLIGENCE to say and see the truth.....I dont understand
how BB and HP are still on duties......THEY SHOULD HAVE BEEN
FIRED ..LONG TIME AGO...!!!! How is it that they dont
get it...!!!!!
Posted by henleyoc on 26th of Sep 2008 at 08:19 am
This crisis presents a STRONG ARGUMENT for every country to have
at least one retail bank that is owned by the national
government. This used to be the case in the UK and
commonwealth countries. If this was the case, other banks
would also need to compete on safety of deposits.
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A fed president contradicts his boss! Wow. Fed's
Posted by pcampbell66 on 25th of Sep 2008 at 11:42 pm
A fed president contradicts his boss! Wow.
Fed's Fisher Says Bank Rescue Plan Would Worsen Fiscal `Chasm'
Finally! We are hearing some sense out of someone on the Fed.
Kiss Bernanke GoodbyeBloomberg is reporting Fed's Fisher Says Bank Rescue Plan Would Worsen Fiscal 'Chasm'
Bernanke day's are now numbered. Goodbye and good riddance.
Kiss the Paulson plan goodbye too. It is now dead on arrival.
But don't celebrate yet.
Keep Faxing and Calling!
Pour On The Pressure.
Fax Your Congressional Representative.
Well....seems EVERY DAY,WE ADD MORE
Posted by treid4dou on 26th of Sep 2008 at 09:05 am
Well....seems EVERY DAY,WE ADD MORE REASONABLE, INTELLIGENCE to say and see the truth.....I dont understand how BB and HP are still on duties......THEY SHOULD HAVE BEEN FIRED ..LONG TIME AGO...!!!! How is it that they dont get it...!!!!!
This crisis presents a STRONG
Posted by henleyoc on 26th of Sep 2008 at 08:19 am
This crisis presents a STRONG ARGUMENT for every country to have at least one retail bank that is owned by the national government. This used to be the case in the UK and commonwealth countries. If this was the case, other banks would also need to compete on safety of deposits.