News / USA

Bernanke: Reducing Unemployment Frustratingly Slow

Federal Reserve Board Chairman Ben Bernanke gives a semiannual report to the Senate Banking Committee, July 17, 2012, on Capitol Hill in Washington.Federal Reserve Board Chairman Ben Bernanke gives a semiannual report to the Senate Banking Committee, July 17, 2012, on Capitol Hill in Washington.
x
Federal Reserve Board Chairman Ben Bernanke gives a semiannual report to the Senate Banking Committee, July 17, 2012, on Capitol Hill in Washington.
Federal Reserve Board Chairman Ben Bernanke gives a semiannual report to the Senate Banking Committee, July 17, 2012, on Capitol Hill in Washington.
VOA News
U.S. Federal Reserve Chairman Ben Bernanke says the U.S. economic recovery has slowed and it will take a "frustratingly" long time to cut the unemployment rate.

The head of the U.S. central bank spoke at a congressional hearing Tuesday after reports showed inflation to be relatively mild, while job growth and retail sales were disappointing.

Bernanke said Europe's economy is under "significant stress" which is spilling over to the rest of the world, including the United States.

He said the U.S. economy could also be hurt if Congress and the president fail to reach agreements on tax and spending issues before the end of this year.  He again urged Congress to cut spending, but at a slow enough pace to avoid hurting growth while the U.S. economy is in a fragile state.

"The most effective way that the Congress could help to support the economy right now would be to work to address the nation's fiscal challenges in a way that takes into account both the need for long-run sustainability and the fragility of the recovery. Doing so earlier rather than later would help reduce uncertainty and boost household and business confidence," he said.

Related video by Mil Arcega
In the meantime, Bernanke said the Fed is ready to take further action to bolster growth if needed.

The Fed has already cut interest rates to nearly zero and used a complex process of bond purchases in another effort to stimulate the economy.

Senators also questioned Bernanke about a scandal over the way a critical global interest rate, called the LIBOR, was set.

Barclays bank recently paid a fine of around $450 million to the U.S. and British governments after the bank gave false information to the British official who sets the rate each day.  

It was an effort to make Barclays look stronger than it was during the financial crisis.

Bernanke said Fed officials in New York became aware of allegations during the financial crisis and reported the matter to British regulatory officials.

Some information for this report was provided by AP and AFP.

You May Like

Myanmar Fighting Poses Dilemma for China

To gain some insight into conflict, VOA’s Steve Herman spoke with Min Zaw Oo, director of ceasefire negotiation and implementation at Myanmar Peace Center More

Australia Concerned Over Islamic State 'Brides'

Canberra believes there are between 30 and 40 Australian women who have taken part in terror attacks or are supporting the Islamic State terror network More

Recreational Marijuana Use Now Legal in Washington, DC

Law allows adults 21 and over to privately possess and smoke 0.05 kilogram of pot, and to grow small amounts of the plant More

This forum has been closed.
Comment Sorting
Comments
     
by: Vaméri from: US
July 18, 2012 1:52 PM
We are lucky if unemployment rate won't go higher. Do not expect good news on economy any time soon. Pres. Obama may have to leave the White House if our unemployment rate won't fall down below 8% by November.

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
US Supreme Court Hears Hijab Discrimination Casei
X
Katherine Gypson
February 25, 2015 11:30 PM
The U.S. Supreme Court has heard opening arguments in a workplace religious discrimination case that examines whether a clothing store can refuse to hire a young woman for wearing the headscarf she says is a symbol of her Muslim faith. Katherine Gypson reports from the Supreme Court.
Video

Video US Supreme Court Hears Hijab Discrimination Case

The U.S. Supreme Court has heard opening arguments in a workplace religious discrimination case that examines whether a clothing store can refuse to hire a young woman for wearing the headscarf she says is a symbol of her Muslim faith. Katherine Gypson reports from the Supreme Court.
Video

Video Falling Gas Prices Hurt Nascent Illinois Hydraulic Fracturing Industry

Falling oil prices are helping consumers purchase cheaper petroleum at the pump. But that’s made hydraulic fracturing or “fracking” less economically viable for the companies in the United States invested in the process. VOA’s Kane Farabaugh reports on one Midwestern town that was hoping to change its fortunes by cashing in on the next big U.S. oil boom.
Video

Video Fighting in Sudan's South Kordofan Fuels Mass Displacement

Heavy fighting in Sudan's South Kordofan state is causing hundreds of thousands to flee into uncertain conditions. Local aid organizations estimate as many as 400,000 civilians have been internally displaced since the conflict began more than three years ago, while another 250,000 have fled across the border to refugee camps in South Sudan. VOA's Adam Bailes reports.
Video

Video Lao Dam Project Runs Into Opposition

A Lao dam project on a section of the Mekong River is drawing opposition from local fishermen, international environmental groups and neighboring countries. VOA's Say Mony visited the region to investigate the concerns. Colin Lovett narrates.
Video

Video A Filmmaker Discovers Her Biracial Identity in "Little White Lie

Lacey Schwartz grew up in an upper middle-class Jewish family, in a town in upstate New York where almost everyone she knew was white. She assumed that she was, as well. Her recent documentary, Little White Lie, tells the story of how she uncovered the secret of her true racial background. VOA’s Carolyn Weaver has more on the film.
Video

Video Deep Under Antarctic Ice Sheet, Life!

With the end of summer in the Southern hemisphere, the Antarctic research season is over. Scientists from Northern Illinois University are back in their laboratory after a 3-month expedition on the Ross Ice Shelf, the world’s largest floating ice sheet. As VOA’s Rosanne Skirble reports, they hope to find clues to explain the dynamics of the rapidly melting ice and its impact on sea level rise.
Video

Video US-Cuba Normalization Talks Resume Friday

Negotiations aimed at normalizing diplomatic relations between the U.S. and Cuba resume Friday. On the table: lifting a half-century trade embargo and easing banking and travel restrictions. There's opposition in Congress, but some analysts say there may be sufficient political and economic incentives in both nations for a potential breakthrough this year. VOA's Mil Arcega reports.
Video

Video Pakistan's Deadline For SIM Registration Has Cellphone Users Scrambling

Pakistani cell phone users have until midnight Thursday to register their SIM cards, or their service will be cut off. While some privacy experts worry about government intrusion, many Pakistanis are just worried about keeping their phone lines open. VOA Deewa reporter Arshad Muhmand has more from Peshawar.
Video

Video Myanmar Warns Factory Workers to End Strikes

Outside Myanmar's main city Yangon, thousands of workers walked off their jobs earlier this month demanding a doubling of their wages, pay raises after a year and input from labor unions on industrial regulations. Since Friday, the standoff has grown more tense as police moved in to disrupt the sit-ins, resulting in clashes that injured people from both sides. VOA correspondent Steve Herman visited industrial zones which have become a focus of Myanmar's fledgling workers rights movement.
Video

Video Oscar Winners Do More Than Thank the Academy

The Academy Awards presentation is Hollywood’s night to reward the best movies from the previous year. It’s typically a lot of glitter, a lot of thank you’s, a lot of speeches. But many of this year’s speeches carried messages beyond the thank you's. VOA’s Carolyn Presutti takes a look.

All About America

Circumventing Censorship

An Internet Primer for Healthy Web Habits

As surveillance and censoring technologies advance, so, too, do new tools for your computer or mobile device that help protect your privacy and break through Internet censorship.
More