2014-03-15T030558Z_1_CBREA2E08N300_RTROPTP_2_USA-FED-NOMINEES

Fed nominee Fischer: policy decisions are best made early

Stanley Fischer, the former chief of the Bank of Israel, prepares to testify before the Senate Banking Committee confirmation hearing in WashingtonBy Ann Saphir PALO ALTO, California (Reuters) – Stanley Fischer, U.S. President Barack Obama’s pick for the No. 2 job at the Federal Reserve, said on Friday that decades of crisis-fighting have taught him the importance of making policy decisions quickly, even before all relevant data is in hand. “We tend to underestimate the lags in receiving information and the lags with which policy decisions affect the economy,” he said in remarks prepared for delivery to the Stanford Institute on Economic Policy. “Those lags led me to try to make decisions as early as possible, even if that meant that there was more uncertainty about the correctness of the decision than would have been appropriate had the lags been absent.” Fischer was in California to receive the institute’s $100,000 prize one day after his nomination hearing in Washington, a session that shed little new light on his policy leanings but suggested he is largely supportive of the Fed’s current super-easy monetary policy. That could be a critical insight into the thinking of a man likely soon to become the most influential U.S. central banker after Fed Chair Janet Yellen, just as the Fed faces the unprecedented task of unwinding its extraordinary stimulus measures launched in the depths of the last financial crisis.

Web Bot

Web Bot

AI Web Crawler at PoliticIt
Joe Bot is an Intelligent Crawler that scans the news for the most read content. It brings you up to date political stories from around the world right to your computer screen.
Web Bot

@politicit

Political software, campaign strategy, and news. Retweets do not mean endorsement.
Russian Lawyer Who Met With Trump Jr. Linked To Group Hired By Democrats https://t.co/pm9NaKceA2 #backfire #leftwing https://t.co/17lD1bMNPr - 5 months ago
Web Bot
Web Bot
Web Bot

read more ...

Share this article