Fed's $600 Billion Move Sparks Global Backlash

Ad Feedback

The Federal Reserve's plan to strengthen the U.S. economy by printing more money has been harshly criticized by economists in the U.S. and overseas.

Federal Reserve governor Kevin Warsh questioned whether it will really help the economy and he warns it could lead to inflation. Even so, he did vote for the plan.

Other countries like China also criticized the move.

Also, Wolfgang Schaeuble, Germany's Finance Minister called the Fed's actions "clueless." He said the Fed will undermine the already weak U.S. dollar.

"I have great doubts about whether it makes sense to pump unlimited amounts of money into the markets," Schaeuble told Der Spiegel news magazine. "There is no shortage of liquidity in the U.S. economy. I can't see the economic argument for this move."

Fed Chairman Ben Bernanke has defended the move to buy $600 billion of government debt. He said boosting the U.S. economy is crucial for global growth.

Log in or create an account to post a comment.  

CBN IS HERE FOR YOU!

Are you seeking answers in life? Are you hurting? Are you facing a difficult situation?

Find peace with God, discover more about God or send us your prayer request.

Call The 700 Club Prayer Center at 1 (800) 823-6053, 24 hours a day.

A caring friend will be there to pray with you in your time of need.

 CBNNews.com

CBNNews.com

CBN News is a national/international, nonprofit news organization that provides programming by cable, satellite, and the Internet, 24-hours a day. Follow us on Facebook, Twitter, and Google+.