The “News” in the following article is… “the Federal Reserve Act is going to be reviewed” coming from Paul Volcker…
See his Bio at the bottom…
Volcker: Recovery will be a ‘long slog’ money.cnn.com (Reuters)
Obama’s senior economic advisor says economy is in a “great recession”; says Fed’s role in economy will be reviewed.April 18, 2009: 12:42 PM ET
NASHVILLE, Tenn (Reuters) — Paul Volcker, senior economic adviser to President Barack Obama, said Saturday
that the U.S. economic recovery will be a “long slog” but that the rate of decline “is going to slow.”
The United States may not be in a Great Depression but it is “in a great recession for sure,” following the economy’s unprecedented tumble in late 2008, Volcker said at a financial markets conference at Vanderbilt University in Nashville, Tennessee.
Volcker, a former chairman of the U.S. Federal Reserve, did not give a time-frame on his expectations for when the United States will pull out of the recession that started in December 2007.
Most economists believe the economy hit its lowest point in the fourth quarter of 2008, when gross domestic product shrank at an annual rate of 6.3 percent, or in the just-ended first quarter.
“None of us has seen a decline in economic activity at the rate of speed seen late last year,” Volcker said.
For now, troubles in the financial system continue to plague the economy, and vice versa.“The lack of a good strong recovery works against a strong financial system,” he said. The financial system “is not quite comatose, but it’s on life support.”
Volcker said a review the Federal Reserve’s role, something traditionally regarded as taboo, now seems inevitable given the fallout from the long-running financial crisis.
“For better or worse, we are at a point where the Federal Reserve Act is going to be reviewed,” said Volcker.
The wide range of proposals, from giving the Fed much more supervisory authority to stripping it of part of its current authorities, “are just an indication of how wide open that question is going to be.”
full article…Obama economic advisor Volcker says recession is severe – Apr. 18, 2009.
BIO of Paul Volcker from Trilateral.org where he was (1991-2001) Honorary North American Chairman and still a prominent member…
Paul A. Volcker
Paul Volcker served in the federal government for almost thirty years during five presidential administrations. Appointed as chairman of the Board of Governors of the Federal Reserve System by President Jimmy Carter in 1979, he was re-appointed by President Ronald Reagan in 1983. After leaving the Federal Reserve in 1987, he became professor of international economic policy (now emeritus) at Princeton University and served as chairman of the firm of James D. Wolfensohn & Co. until his retirement in 1996. Recently he has been called upon to lead an independent investigation into the Iraqi Oil for Food Program of the United Nations and a review of the World Bank‘s anti-corruption efforts, and he now serves as chairman of the President’s Economic Recovery Advisory Board. He is chairman of the Board of Trustees of the Group of 30 (G30), an international organization which examines the impact of economic and financial decisions by the public and private sectors. As chairman of the first National Commission on the Public Service (the “Volcker Commission”) in 1988 and the second Volcker Commission in 2002, he established himself as one of the nation’s strongest advocates for the revitalization of the public service.
February 2009
This is a BIG DEAL … should mean the death of HR 1207 and an expansion of the Federal Reserve Authority… if Volcker says it will happen… it will… joe
Related posts:
- Ron Paul: “Federal Reserve Transparency Act of 2009″ H.R.1207
- Bring Some Accountability to the Federal Reserve: The Grayson Letter
- Ron Paul has 112 Co-Sponsors HR 1207 “The Federal Reserve Transparency Act”
- Bank of England, “Treason” … a.k.a “the US Federal Reserve System”
- Federal Reserve Threatens Congress Reported by Judge Napolitano
