Ben Bernanke Quotes & Sayings

Over the years, the U.S. economy has shown a remarkable ability to absorb shocks of all kinds, to recover, and to continue to grow. Flexible and efficient markets for labor and capital, an entrepreneurial tradition, and a general willingness to tolerate and even embrace technological and economic change all contribute to this resiliency. — Ben Bernanke

How much would you pay to avoid a second Depression? — Ben Bernanke

I'd throw dollars out of helicopters if I had to, to stimulate the economy. — Ben Bernanke

Our mission, as set forth by the Congress is a critical one: to preserve price stability, to foster maximum sustainable growth in output and employment, and to promote a stable and efficient financial system that serves all Americans well and fairly. — Ben Bernanke

The benefit of appointing a hawkish central banker is the increased inflation-fighting credibility that such an appointment brings. — Ben Bernanke

For many of us, owning a home signaled a passage into adulthood that coincided with the start of a career and family. — Ben Bernanke

History proves ... that a smart central bank can protect the economy and the financial sector from the nastier side effects of a stock market collapse. — Ben Bernanke

All the Federal Reserve can do is make loans against collateral. — Ben Bernanke

The risk exists that, with aggregate demand exhibiting considerable momentum, output could overshoot its sustainable path, leading ultimately in the absence of countervailing monetary policy action to further upward pressure on inflation. — Ben Bernanke

I think one of the lessons of the Depression - and this is something that Franklin Roosevelt demonstrated - was that when orthodoxy fails, then you need to try new things. And he was very willing to try unorthodox approaches when the orthodox approach had shown that it was not adequate. — Ben Bernanke

I am particularly pleased to see that the Bendheim Center for Finance is thriving. — Ben Bernanke

The people who best use their advantages, or overcome adversity, and work honestly are those most worthy of admiration. — Ben Bernanke

September and October of 2008 was the worst financial crisis in global history, including the Great Depression, — Ben Bernanke

The role of liquidity in systemic events provides yet another reason why, in the future, a more system wide or macroprudential approach to regulation is needed. — Ben Bernanke

Monetary policy is not a panacea. — Ben Bernanke

Monetary policy cannot do much about long-run growth, all we can try to do is to try to smooth out periods where the economy is depressed because of lack of demand. — Ben Bernanke

Economic engineering is about the design and analysis of frameworks for achieving specific economic objectives. — Ben Bernanke

If Wall Street crashes, does Main Street follow? Not necessarily. — Ben Bernanke

Economics is a very difficult subject. I've compared it to trying to learn how to repair a car when the engine is running. — Ben Bernanke

Many foreclosed homes are neglected or abandoned, as legal proceedings or other factors delay their resale. Deteriorating or vacant properties can, in turn, directly affect the quality of life in a neighborhood, for example, by leading to increases in vandalism or crime. — Ben Bernanke

To the extent that bank panics interfere with normal flows of credit, they may affect the performance of the real economy. — Ben Bernanke

Now that I'm a civilian again, I can once more comment on economic and financial issues without my words being put under the microscope by Fed watchers. — Ben Bernanke

[Virtual Currencies] may hold long-term promise, particularly if the innovations Promote a faster, more secure and more efficient payment system. — Ben Bernanke

We should see better and more direct measurements of economic well being. — Ben Bernanke

The Federal Reserve will not monetize the debt. — Ben Bernanke

The Federal Reserve Act requires the Federal Reserve to report annually on its operations and to publish its balance sheet weekly. — Ben Bernanke

In the future, financial firms of any type whose failure would pose a systemic risk must accept especially close regulatory scrutiny of their risk-taking. — Ben Bernanke

Of course, economic forecasts must be revised when new information arrives and are thus necessarily provisional. — Ben Bernanke

Given the central role of effective, firmwide risk management in maintaining strong financial institutions, it is clear that supervisors must redouble their efforts to help organizations improve their risk-management practices ... We are also considering the need for additional or revised supervisory guidance regarding various aspects of risk management, including further emphasis on the need for an enterprise-wide perspective when assessing risk. — Ben Bernanke

The Federal Reserve has never suffered any losses in the course of its normal lending to banks and, now, to primary dealers. — Ben Bernanke

High levels of homeownership have been shown to foster greater involvement in school and civic organizations, higher graduation rates, and greater neighborhood stability. — Ben Bernanke

A little humility never hurts. — Ben Bernanke

Aggregate statistics can sometimes mask important information. — Ben Bernanke

It is not the responsibility of the Federal Bank - nor would it be appropriate - to protect lenders and investors from the consequences of their decisions — Ben Bernanke

It takes about two and a half percent growth just to keep unemployment stable. — Ben Bernanke

Under a cold turkey strategy, at each policy meeting the Federal Open Market Committee would make its best guess about where it ultimately wants the funds rate to be and would move to that rate in a single step. — Ben Bernanke

Fostering transparency and accountability at the Federal Reserve was one of my principal objectives when I became Chairman in February 2006. — Ben Bernanke

If bankers become overly conservative in response to past lending mistakes - or if examiners force such behavior - it will hurt bankers' own long-term interests and the economy in general. — Ben Bernanke

A gold standard doesn't imply stability in the prices of the goods and services that people buy every day, it implies a stability in the price of gold itself. — Ben Bernanke

A money-financed tax cut is essentially equivalent to Milton Friedman's famous 'helicopter drop' of money. — Ben Bernanke

Nobody likes to fail but failure is an essential part of life and of learning. If your uniform isn't dirty, you haven't been in the game. — Ben Bernanke

If current trends continue, the typical U.S. worker will be considerably more productive several decades from now. Thus, one might argue that letting future generations bear the burden of population aging is appropriate, as they will likely be richer than we are even taking that burden into account. — Ben Bernanke

In a slow-growing world that is short on aggregate demand, Germany's trade surplus is a problem. — Ben Bernanke

To be sure, faster growth in nominal labor compensation does not necessarily portend higher inflation. — Ben Bernanke

The Fed's independence is critical. — Ben Bernanke

Not all information is beneficial. — Ben Bernanke

I don't see much evidence of an equity bubble, — Ben Bernanke

The world has a great deal more to offer than money. — Ben Bernanke

To avoid large and unsustainable budget deficits, the nation will ultimately have to choose among higher taxes, modifications to entitlement programs such as Social Security and Medicare, less spending on everything else from education to defense, or some combination of the above. — Ben Bernanke

Among other objectives, liquidity guidelines must take into account the risks that inadequate liquidity planning by major financial firms pose for the broader financial system, and they must ensure that these firms do not become excessively reliant on liquidity support from the central bank. — Ben Bernanke

Smart financial planning - such as budgeting, saving for emergencies, and preparing for retirement - can help households enjoy better lives while weathering financial shocks. Financial education can play a key role in getting to these outcomes. — Ben Bernanke

Market discipline can only limit moral hazard to the extent that debt and equity holders believe that, in the event of distress, they will bear costs. — Ben Bernanke

If you want to understand geology, study earthquakes. If you want to understand the economy, study the Depression. — Ben Bernanke

The crisis and recession have led to very low interest rates, it is true, but these events have also destroyed jobs, hamstrung economic growth and led to sharp declines in the values of many homes and businesses. — Ben Bernanke

The more important reason is that the research itself provides an important long-run perspective on the issues that we face on a day-to-day basis. — Ben Bernanke

The sources of deflation are not a mystery. Deflation is in almost all cases a side effect of a collapse of aggregate demand.. a drop in spending so severe that producers must cut prices on an ongoing basis in order to find buyers. — Ben Bernanke

I would argue that no financial instrument counted as regulatory capital should be allowed to receive any protection from losses. — Ben Bernanke

Building a rainy-day fund during good times may not be politically popular, but it can pay off during the bad times. — Ben Bernanke

Different countries have different kinds of financial structures. — Ben Bernanke

The economist John Maynard Keynes said that in the long run, we are all dead. If he were around today he might say that, in the long run, we are all on Social Security and Medicare. — Ben Bernanke

A collapse in U.S. stock prices certainly would cause a lot of white knuckles on Wall Street. — Ben Bernanke

Consumers going through foreclosure typically will see their credit scores drop, raising longer-term questions about their ability to rebound financially and perhaps pursue a more sustainable home purchase at some later point. — Ben Bernanke

The stress on the financial system in the fall of 2007 was significant, but not so significant as to threaten the overall stability of the U.S. economy, although it did lead to the beginning of a recession at the end of 2007. — Ben Bernanke

Actually, I'm a Republican. — Ben Bernanke

The one thing people don't appreciate, I think, is that central banking is not a new development. It's been around for a very long time. — Ben Bernanke

Banks need to continue to lend to creditworthy borrowers to earn a profit and remain strong. — Ben Bernanke

If the fiscal cliff occurs, I don't think the Federal Reserve has the tools to offset that event. — Ben Bernanke

Following an extended boom in housing, the demand for homes began to weaken in mid-2005. By the middle of 2006, sales of both new and existing homes had fallen about 15 percent below their peak levels. Homebuilders responded to the fall in demand by sharply curtailing construction. — Ben Bernanke

I've never been on Wall Street. And I care about Wall Street for one reason and one reason only because what happens on Wall Street matters to Main Street. — Ben Bernanke

In a mature economy like India's, which is becoming modern and a financially-oriented economy, an independent central bank, responsible central bank, is really central to success. — Ben Bernanke

The best solution to income inequality is providing a high-quality education for everybody. In our highly technological, globalized economy, people without education will not be able to improve their economic situation. — Ben Bernanke

The movement toward a holistic approach to community development has been long in the making, but the housing crisis has motivated further progress. — Ben Bernanke

The public in many countries is understandably concerned by the commitment of substantial government resources to aid the financial industry when other industries receive little or no assistance. This disparate treatment, unappealing as it is, appears unavoidable. — Ben Bernanke

Interest rates are used to achieve overall economic stability. — Ben Bernanke

I don't know why there aren't more Depression buffs. — Ben Bernanke

In any given month, a large number of workers are being hired or are leaving their current jobs, illustrating the dynamism of the U.S. labor market. — Ben Bernanke

I am confident that we will meet whatever challenges the future may bring. — Ben Bernanke

The failure of Lehman Brothers demonstrated that liquidity provision by the Federal Reserve would not be sufficient to stop the crisis; substantial fiscal resources were necessary. — Ben Bernanke

A meritocracy is a system in which the people who are the luckiest in their health and genetic endowment; luckiest in terms of family support, encouragement and, probably, income; luckiest in their educational and career opportunities; and luckiest in so many other ways difficult to enumerate - these are the folks who reap the largest rewards. — Ben Bernanke

Income inequality is troubling because, among other things, it means that many people in our society don't have the opportunities to advance themselves. — Ben Bernanke

I think that having good data, good statistics-and the United States generally has better macroeconomic statistics than most countries-and having good economists to interpret those data and present the policy alternatives, has a substantially beneficial effect on policymaking in the United States. — Ben Bernanke

My proposal that Fed governors should signal their commitment to public service by wearing Hawaiian shirts and Bermuda shorts has so far gone unheeded. — Ben Bernanke

When the economic well-being of their nation demanded a strong and creative response, my colleagues at the Federal Reserve ... mustered the moral courage to do what was necessary. — Ben Bernanke

The Federal Reserve can only buy Treasuries and agencies, and moreover quantitative easing typically involves buying longer-term Treasuries and agencies in terms of bills, for example. — Ben Bernanke

Long term, I have a lot of confidence in the United States. We have an excellent record in terms of innovation. We have great universities that are involved in technological change and progress. We have an entrepreneurial culture, much more than almost any other country. — Ben Bernanke

Economic management involves the operation of economic frameworks in real time - for example, in the private sector, the management of complex financial institutions or, in the public sector, the day-to-day supervision of those institutions. — Ben Bernanke

Because a person has to be either working or looking for work to be counted as part of the labor force, an increase in the number of people too discouraged to continue their search for work would reduce the unemployment rate, all else being equal - but not for a positive reason. — Ben Bernanke

The Federal Reserve has always recognized the importance of allowing markets to work, and government oversight of financial firms will never be fully effective without the aid of strong market discipline. — Ben Bernanke

Home purchases that are very highly leveraged or unaffordable subject the borrower and lender to a great deal of risk. Moreover, even in a strong economy, unforeseen life events and risks in local real estate markets make highly leveraged borrowers vulnerable. — Ben Bernanke

To be sure, the provision of liquidity alone can by no means solve the problems of credit risk and credit losses; but it can reduce liquidity premiums, help restore the confidence of investors, and thus promote stability. — Ben Bernanke

In all likelihood, a significant amount of time will be required to restore the nearly eight and a half million jobs that were lost nationwide over 2008 and 2009. — Ben Bernanke

Clear communication is always important in central banking, but it can be especially important when economic conditions call for further policy stimulus but the policy rate is already at its effective lower bound. — Ben Bernanke

If two people always agree, one of them is redundant. — Ben Bernanke

When historical relationships are taken into account, it is difficult to ascribe the house price bubble either to monetary policy or to the broader macroeconomic environment. — Ben Bernanke

Small businesses have played an important role in fueling past economic recoveries. — Ben Bernanke

Preventing liquidation of an unbalanced market will leave you in tears. — Ben Bernanke

Identity theft is a serious crime that affects millions of Americans each year. — Ben Bernanke

One would be forgiven for concluding that the assumed benefits of financial innovation are not all they were cracked up to be. — Ben Bernanke

House prices have risen by nearly 25 percent over the past two years. Although speculative activity has increased in some areas, at a national level these price increases largely reflect strong economic fundamentals. — Ben Bernanke

Economic science concerns itself primarily with theoretical and empirical generalizations about the behavior of individuals, institutions, markets, and national economies. Most academic research falls in this category. — Ben Bernanke