Bernanke Confirms: “If We Were To Tighten Policy, The Economy Would Tank”…(Prepare Yourselves!)
July 18th, 2013
Financial analysts have opined that the United States is well on the road to recovery. They cite various data points to make the case that the multi-trillion dollar bailouts and stimulus have brought us back from the brink of a collapse so serious that Congressional leaders had been told that should the bailouts fail, there was a real possibility of martial law being declared.
We’re doing so well, in fact, that just a couple of years ago President Obama assured the nation of our progress, claiming that we “reversed the recession, avoided a depression, [and] got the economy moving again.”
But were one to take a step back from the rhetoric of talking heads, political leaders and so-called Wall Street experts, a completely different picture begins to emerge.
Just this week it was announced that not only are housing starts plummeting, but permit applications reported their “largest miss in history,” an indicator that the economy is not as healthy as it has been made out to be. And, while stock markets are hitting all-time record highs, what’s curious is that some of the world’s largest companies, including Intel, IBM, Google, Ebay and FedEx, are reporting significant consumer pull back and earnings below analyst expectations.
And if that hasn’t convinced you, then here is the reality of the situation directly from Federal Reserve Chairman Ben Bernanke, the architect of the most massive economic recovery “plan” ever devised in the history of the world.
“I don’t think the Fed can get interest rates up very much, because the economy is weak, inflation rates are low,” Bernanke told the House Financial Services Committee.
“If we were to tighten policy, the economy would tank.”