Bernanke at his Academic obfuscating best.
Maybe if He had mentioned that the FED, by keeping interest rates to low ' possibly ' created artificial stimulation that in turn created a huge bubble in Credit and Debt that blew up and will eventually destroy the System,He might end up with a bit more credibility.
I see no mention of the interference of all aspects in the Financial Markets
Shocked I am,shocked I say.It must have been a momentary lack of concentration on Bernankes part.
Real interest rates are low because of Debt, deflation and Government demanding ever more taxes from anything that moves or doesn't,which slows the economy.
How is it possible that the Economy can grow when debt is so large and Governments are raising taxes wherever they can and can't.
Who would want to start up a new Business under todays environment.
Interest rates are low because of Yield searchers as well and boy are they in for a shock when this fixed income market blows up.
I could go on and on.
It would appear to me that we face a danger of moving to a fascist system on our way to Totalitarianism and chaos.
If and when these Interest rates break much higher,it aint rocket science to see the damage coming.
Central Banks can control short rates but the long rate is a market set rate and change is coming
It will be interesting to see what further games they will play to try to keep it together
