Political Quotes

“I wish to quote a short release today put out by the Federal Reserve. They have taken an action of which I am very strongly critical. This is the release: Chairman Alan Greenspan announced today that the Federal Open Market Committee decided to increase slightly the degree of pressure on reserve positions. The action is expected to be associated with a small increase in short-term money market interest rates. The decision was taken to move toward a less accommodative stance in monetary policy in order to sustain and enhance the economic expansion. Chairman Greenspan decided to announce this action immediately so as to avoid any misunderstanding of the Committee's purposes, given the fact that this is the first firming of reserve market conditions by the Committee since early 1989. Madam President, Senator Sasser joined me earlier today in criticizing the Federal Reserve for the announcement that they are moving to increase interest rates and to a less accommodating stance in monetary policy. The Fed actually pursues a very highly skewed policy. They have a hair-trigger response when it comes to fighting inflation. In fact, in the current circumstance, they are tightening up monetary policy before there is any substantial evidence of inflation, even before there is any real threat of future inflation.”