Bloomberg News

Bernanke Says Fed Doesn’t Expect Return to a Recession in U.S.

October 01, 2012

Federal Reserve Chairman Ben S. Bernanke said policy makers believe the U.S. probably won’t fall back into a recession even as the economy remains too weak to bring down the jobless rate.

“We see employment, which is one of the key indicators of recession, still growing, so we expect the economy to continue to grow,” Bernanke said in response to audience questions after a speech in Indianapolis. “We’re not expecting a recession.”

Bernanke said he is concerned economic growth of 1.5 percent to 2 percent “is not fast enough to lower the unemployment rate” because it only provides enough jobs for those entering the labor force and “doesn’t do anything to eat into the backlog of the unemployed.”

To contact the reporter on this story: Jeff Kearns in Washington at jkearns3@bloomberg.net

To contact the editor responsible for this story: Chris Wellisz at cwellisz@bloomberg.net


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