Matt Clinch
CNBC
6 Mar 2014
Philadelphia Federal Reserve President Charles Plosser is “very worried” about the potential for unintended consequences of the Fed’s massive quantitative easing program.
Plosser told CNBC that the U.S. was still suffering from “lasting effects” of the recession and “may never return” to its previous growth rates—and warned that policy should not bet on growth returning to previous rates, saying it could be “many, many years.”
With gross domestic product expanding at a 2.4 percent annual rate, according to the Commerce Department last Friday, Plosser said that the country was “pretty close” to its steady state growth and may never get back to where it once thought it could be. “To keep trying to think that we’re going to do that, means that we keep trying to overplay our hand in terms of policy,” he added…
…”The best thing the U.S. can do for the global economy is have a strong economy itself…over the longer run that will make for a much healthily world economy,” he said.
The entire article, with video, is at CNBC.com
H/T The Blaze
