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Bernanke Seems Clueless About the Real State of the Economy

I am still trying to figure Bernanke out. It seems he's right on some points but off on others. I never understood the 16 consecutive rate increases. Why didn't they give the lag effect time to work and stop @ 3% instead of 5 1/2%? Initially he said damage would be contained at a ridiculously unbelieveable number. Yet he has certainly been creative in backstopping the system. I agree with him that if we let one more major financial company fail that the deleveraging fallout could be fatal. It is going to take us a while to change these "too big to fail" firms into less scary ones.


Mar 01 10:21 AM User 320114 wrote:

> You may be right that Bernanke is too optomistic but maybe you are
> way to pessimistic. We all know what happened but no one really knows
> what will happen. Do you really think that corporate management is
> going to make investments based on feelings and thus create even
> a bigger problem? It is never as good as it seems and never as bad.
> Give the current administration some time. At least they are not
> sitting on their hands.