Bernanke tries to exorcise ghosts of '70s oil shock

Source: MarketWatch

WASHINGTON (MarketWatch) - Federal Reserve Board chairman Ben Bernanke attempted Wednesday to exorcise the ghosts of the 1970s oil crisis that have lately been spooking economists concerned about the recent oil price spike.

"Our economy has thus far dealt with the current oil price shock comparatively well," Bernanke said a speech to the graduating class of Harvard University, who asked him to speak.

It has become trendy among economists to warn that soaring oil prices augur a return to the stagflation of the 1970, where easing growth meets rising prices.

But Bernanke exhibited little patience with this argument. "Many things are better today than they were then," Bernanke said simply.

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Visions of stagflation, high interest rates, and high unemployment werent exactly something the street wants to remind people about.

I had a 71 AMC Javelin.

It was a hot car.

Like many Ramblers, my buddies Gremlin would not die. He eventually ritually sacrificed its rusted out and tattered shell as an offering to his new pickup.

The horror, the horror

taking the microphone. I just wish these Fed guys would just STFU!
Every time they open their mouths, the markets tank, forcing a lot of people out of their positions at a loss.

The little guy takes it the worst. He sells, and W$ buys the dip.

:scared:

Personally, I hate his economics textbooks... x( barely survived Macroecon.