Tags: Money | criticism | bernanke | federal reserve | chairman

6 Harshest Criticisms of Bernanke's Term as Federal Reserve Chairman

By    |   Thursday, 09 July 2015 04:21 PM

Ben Bernanke has his share of critics for his performance as Federal Reserve chairman from 2006 to 2014. He headed the Fed during the worst financial crisis the U.S. had seen since the Great Depression.

Here are six harsh criticisms of Bernanke during his two terms as Fed chairman:

1. Bernanke was criticized for not seeing and taking the correct steps to avoid the financial meltdown of 2008 and the “Great Recession” that followed. He had served in a post with the Federal Reserve in 2002 and was chairman of President George W. Bush’s Council of Economic Advisors before becoming Fed chairman.

Watch Now: Steve Forbes Slams the Fed in This Video

2. Critics charged him with pumping trillions of dollars into the economy, which may have expanded the national debt. Bernanke loaned some $2 trillion to banks to soften the blow of the recession, and many of these banks were not named. Legislators such as former Texas Congressman Ron Paul sought the identity of the banks by calling for an audit of the Fed.

3. During Bernanke’s last year as Fed chairman, hedge fund manager Paul Singer accused Bernanke of creating class warfare and wrote that his moves in the Fed threatened to “ultimately destroy the value of money and savings while uprooting the basic stability of our society,” Fortune wrote.

4. Investment strategist Peter Schiff criticized the Fed for giving a false impression to Americans that the U.S. was going through a recovery in the years following the economic meltdown. He blamed the Fed for the dire outlook on job creation.

5. Schiff argued the Fed’s policies under Bernanke only prolonged the recession. These policies included quantitative easing in which the Fed purchased Treasury bonds and mortgage-backed securities to help banks with lending opportunities, supposedly to stimulate borrowing and spending in the economy. Schiff even met briefly with Bernanke at the SkyBridge Alternatives Conference in 2015, telling him, “I’m your biggest critic,” according to a report in Schiff Gold.

New Threat: Glaziev Directive Could Instantly 'Reset' the Value of the Dollar, Destroy Wealth (See Proof)

6. PBS NewsHour wrote that Bernanke failed to recognize the housing market bubble that helped produce the economic crisis. Bernanke did nothing during the run-up on housing with a consumption boom that was expected to lead to price drops and economic consequences.

© 2020 Newsmax. All rights reserved.


   
1Like our page
2Share
Money-Wire
Ben Bernanke has his share of critics for his performance as Federal Reserve chairman from 2006 to 2014. He headed the Fed during the worst financial crisis the U.S. had seen since the Great Depression.
criticism, bernanke, federal reserve, chairman
391
2015-21-09
Thursday, 09 July 2015 04:21 PM
Newsmax Media, Inc.
 

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved