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Dallas Federal Reserve president Richard Fisher argues it's up to politicians to dig the economy out its debt hole.
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-- -- your read Ben Bernanke says the Central Bank is ready to act but is there and the Fed can do to really improve the economy David hasn't is that yeah.
-- we don't know.
Clearly you know about it.
-- tried it led to the problem is we've all -- -- for awhile they have two mandates want us to keep that the dollars stay boy have done a great job at that.
But the other is to keep the economy growing obviously they've they've run out of bullets there the growth mandate I think.
And some people I -- I would say the Federal Reserve think that the growth mandate of the Federal Reserve is dying that is to say.
They're saying it's up to -- that the politicians.
Meaning it's up to the voters because eventually big turnout the politicians that don't.
Do really deliver on these promises but of course politicians.
Have to change their ways let's roll the tape and show you what I mean.
They have to stop.
Doing what Republicans and Democrats together have been doing for far too long.
That is digging a giant hole in which they are burying our children with debt and unfunded liabilities.
And until that's process stops.
Until they come forward with -- broad job creating tax and spending incentives.
-- I don't think we'll pull ourselves around and David will be headed in the wrong direction so.
This is what is required now you can't depend on the Central Bank the Federal Reserve to print your way out of it.
That just creates other problems you've got to solve the problem the time is now I hope they get -- it.
Of course that is Richard Fisher he is the president of the of the Dallas Federal Reserve -- And he's saying as -- -- the politicians are not getting their act together you cannot rely on central -- the Federal Reserve cannot print.
Its way out of this problem and that's that's quite something coming from a trade jobs right exactly exactly job -- so you know.
The dissenter and to that Jeff -- -- excuse me.
I mean is Richard Fisher kind of connect can't you accept it I mean -- -- -- -- -- is no longer a voting -- that are rotating position but -- -- the -- -- among -- fed officials who are kind of going against -- He of course is known as one of the hawks he -- that he's -- the least enthusiastic about printing more money but he's he's essentially saying that there is a consensus among the Federal Reserve that they can't buy more bonds they can do more this Operation Twist he's out of he's not a fan or.
A supporter of Operation Twist he thinks that has run its course is well.
But the fact is is said in terms of buying bonds what that what the the street really wants -- -- they're not going to be doing that at all.
And we can't leave without the analogy his apt analogy where he said that we are where the best course that would affect the best course of the globe would you blowing out -- all dead at best.
True we are also turning -- -- -- Europe put the United States lets hope I'm wrong and I would yeah what -- happened for the Fed to ditch the dual mandate.
That's a good question because it was congress that set up the -- -- rigidly they were only supposed to make sure that the dollar kept its value.
Then it was in the 1970s.
That they begin that extra mandate that they were in charge of keeping unemployment -- -- clearly what they've done since 2008.
Hasn't helped unemployment it's consistently -- about its.
Come down to 8% but still -- -- -- -- get rid of that part of the -- is -- there either -- -- credit -- or even worse than that they conflict with each other sometimes in order to stabilize the currency -- -- unemployment and vice -- so.
I think we've reached the end or close to what I do believe though will be up to congress because -- the one the put in the dual mandate they'd have to take it out.
We'll look -- the full interview with Fisher thank you that's at 4 o'clock today will be watching banking it is safe -- be sure to watch more David's interview on after the bell.
At 4 PM eastern right here on Fox Business we wouldn't dare miss.
