On the recordJuly 13, 2011
This would be very bad for jobs.
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congress.govThis would be very bad for jobs.
Bernanke warns that raising interest rates due to default would negatively affect job growth.
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The challenge for the Congress and the Administration is to put the Federal budget on a sustainable long-run path that promotes economic growth and stability without unnecessarily impeding the current recovery.
It is also important, of course, for community banks to be well-capitalized so that they can continue to lend during difficult periods.