The actions on the eve of the Fed\u2019s centenary year underscore Bernanke\u2019s hallmark commitment to experimentation and forceful action, derived in part from his research showing too little monetary stimulus produced large economic costs for the U.S. in the 1930s and for Japan in the 1990s. He called the current state of the labor market, with unemployment at 7.7 percent, \u201can enormous waste of human and economic potential\u201d\u009d and said the benefits of more bond buying outweigh the potential risks.<\/p>\n
\u201cBernanke is pulling out all the stops to kick this economy back into a higher gear,\u201d\u009d said Chris Rupkey, chief financial economist at Bank of Tokyo-Mitsubishi UFJ Ltd. in New York. \u201cThey are buying everything in sight — Treasuries, mortgage-backed securities — and will keep rates low until everyone who wants a job has one.\u201d\u009d<\/p>\n
Read it all<\/a>.<\/p>\n Update<\/b>: Brian Milner has some interesting thoughts on this there<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":" The actions on the eve of the Fed\u2019s centenary year underscore Bernanke\u2019s hallmark commitment to experimentation and forceful action, derived in part from his research showing too little monetary stimulus produced large economic costs for the U.S. in the 1930s…<\/span><\/p>\n