Posted on 11/02/2011 9:42:46 PM PDT by NormsRevenge
As the Federal Reserve downgraded its economic projections, Chairman Ben S. Bernanke admitted that the central bank's board was in the same distressing position as the average American family — frustrated by the slow recovery, limited in its options and largely reduced to hoping for the best.
"I certainly understand that many people are dissatisfied with the state of the economy," Bernanke told reporters Wednesday when asked about the Occupy Wall Street protests. "I'm dissatisfied with the state of the economy."
The Fed noted in its official statement after its two-day meeting that economic conditions strengthened somewhat from July through September and that inflation appeared to have slowed.
But the European debt crisis weighed heavily on the U.S. economy as the central bank warned of "significant downside risks to the economic outlook, including strains in global financial markets."
Given those troubles, the Fed lowered its projections for economic growth and for an improved unemployment rate for the third time this year. The new figures show the recovery slogging along at least through next year.
"In short, while we still expect that economic activity and labor market conditions will improve gradually over time, the pace of progress is likely to be frustratingly slow," Bernanke said, acknowledging that the Fed had overestimated the strength of the recovery.
Annual growth will be between 1.6% and 1.7% this year, down from the Fed's June projection of 2.7% to 2.9%. And growth will remain below 3% next year, well below the June forecast of 3.3% to 3.7%.
The unemployment rate — now at 9.1% — also won't show much improvement. It could remain above 8% through 2013, the Fed said.
(Excerpt) Read more at latimes.com ...
thought we could all use a little bedtime story from Uncle Ben..
The wolf wins. (for those who can’t stay up any longer.)
Totally unexpected.
He looked like a whupped puppy testifying today..
I hear Corzine is looking for a new gig. ;-]
“Federal Reserve scales back projections of economy’s growth”
Translation: They ran out of ink.
What recovery? These people are delusional.
A full year before the 2012 general elections, especially at the Federal level, it can be said that Ben told us. So nothing there, move along.
Is control of House and Senate more important now than getting O out of the White House - that is, a veto proof legislature?
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