Bernanke warns of possible U.S. recession

[sabra]

Source: MSNBC/AP

Fed chief says economy may shrink in the first half of the year


WASHINGTON - Federal Reserve Chairman Ben Bernanke warned Congress on Wednesday that the U.S. economy may shrink over the first half of this year, which would signal the start of a recession. Yet, he did not offer assurances of further interest rate cuts.

In prepared testimony to Congress' Joint Economic Committee, Bernanke didn't use the word recession. But it is the closest he has come to date to suggesting that possibility, given a trio of crises — housing, credit and financial — that has pummeled the country.

"It now appears likely that gross domestic product (GDP) will not grow much, if at all, over the first half of 2008 and could even contract slightly," Bernanke told lawmakers. GDP measures the value of all goods and services produced within the United States and is the best barometer of the United States's economic health. Under one rule, six straight months of declining GDP, would constitute a recession.

Read more: http://www.msnbc.msn.com/id/23917696/

[Systematic Chaos]

1. Message to Ben:

Go lay down by your dish.

[ayeshahaqqiqa]

2. Bernanke Van Winkle

apparently has been asleep for a few years. We've been in a recession for quite some time now.

[NC_Nurse]

3. Welcome to reality.

Alwasy the last to arrive at the party. Yippee! :evilfrown:

[bdamomma]

4. we are already in recession, stupid people.

boy, I do hope these jerks suffer as much as us, really.

[Red1]

5. Ya

Fed chief says economy may shrink in the first half of the year.

correction

Fed chief says economy may shrink by half this year.

[gasperc]

6. Fed trying to avoid 'technical definition' of a recession

with housing and other sectors contracting as they have, this will certainly be described as a recession when all is said and done. Having said that, the GDP numbers, however or by whatever means, give me the sense that they are being massaged. Whether by military spending being willfully pushed up or whatever. Bottom line, come fall, the economoy will be anemically slow but 'the data' will show the economy miraculously escaped (the technical definition) recession. This will be a major GOP, Bush and McCain talking point, MARK MY WORDS.

[peacetalksforall]

7. I think you have a Bingo!

[truthisfreedom]

10. Just like the administration avoided using the words "civil war" in Iraq.

Even though it's been plunged into civil war for years now.

[libodem]

12. just what I was thinking

exactly! Cynical minds think alike.

[jwirr]

8. Possible? When was the last time they let this guy out of his cage? nt

[Virginia Dare]

9. That's why they pay him the big bucks!...n/t

[area51]

11. "Bernanke warns of possible U.S. recession"

Wow, he's only 7 years late with his prediction. :eyes: