Ben Bernanke

I congratulate you on those contributions.

I think another part of the reform package that is very important is the resolution authority and measures taken to address the too-big-to-fail problem.

Certainly Congress could provide guidance about what they would like to see shut down or make specific statutory recommendations or statutory laws.

I think it would not be inappropriate if a supervisor determines that a company doesn't have the managerial or risk capacity to appropriately manage a particular activity.

You have to be careful of unintended consequences.

The sooner that you can come to some clarity on the future of Fannie and Freddie, the better.

I do think that we have to get away from this neither fish nor fowl situation where they are part public, part private.

I think heading toward a 100 percent debt-to-GDP ratio would be very undesirable, particularly given the aging of our society and those obligations we are facing longer term.

I think we would all agree that we don't want companies taking excessive risks when they are protected by the government safety net.

We cannot allow ourselves to be in a situation where the debt continues to rise, which leads to an unsustainable situation.

The Senate today confirming Ben Bernanke for a second term as chairman of the Federal Reserve but by one of the smallest margins of all time: the vote 70-30.

The belief by market participants that some firms may be too big to fail has many undesirable effects.

I thank you for the opportunity to appear before you today.

Some of the steps we have taken, like the AIG episode, for example, obviously have hurt the Fed a lot politically.

I think there is an appropriate division of labor: Congress and the administration, fiscal policy; Federal Reserve, monetary policy.

I think living wills, while they are not a panacea, can be a useful adjunct to supervision.

The unemployment rate is very high, and it is a tremendous problem, and it obviously means a lot of hardship for a lot of people.

The government can provide various incentives, encouragements, to banks to do what in many cases is really in their own interest.

I personally understand this issue because I grew up in an unbanked family.

I agree with you about remittances. That has been an interest of mine for some time.

Well, it is technically a recovery in that it is growing and that we are no longer declining, but it is certainly not a satisfactory situation since we have a 10-percent unemployment rate.

It is my belief that if we had not acted, if Congress had not supported our actions to stabilize the system...

I think that is the first best way to try to address bubbles.

I think it is very appropriate to begin winding it down.

I do agree with that. Fannie Mae and Freddie Mac are particular problems and issues have to be addressed.