Chris Ward: “as we learned yesterday, the Federal Reserve has raised short-term interest rates for the seventh time in 1 year. I feel…”

“as we learned yesterday, the Federal Reserve has raised short-term interest rates for the seventh time in 1 year. I feel that this move was a drastic error in fiscal management. While this move may aid the wealthiest investors on Wall Street, it will place an undue burden on the average American, forcing many to postpone plans of purchasing a new car or a new home. This sharp decrease in spending, which will inevitably result from the increase, could drive the economy into a recession. Today's Washington Post, reported: ``Higher rates are beginning to affect one of the strongest parts of the economy during 1994, the making and selling of new cars and light trucks.'' The automotive aspect of our Nation's economy is critical and I do not think that it is prudent fiscal policy to place this market in jeopardy. Mr. Speaker, the average American family was dealt a hard blow yesterday and I only hope that Mr. Greenspan knows something that I do not know.”