Fed Chairman Ben Bernanke said the Federal Reserve Board will consider new steps aimed at promoting economic growth at its September 21 meeting. Speaking at the Economic Club of Minnesota, Mr. Bernanke said lawmakers need to come up with a long term plan for deficit reduction and avoid cuts in the short term that may hurt economic growth.
Commenting on the recent S&P downgrade of U.S. debt, the Chairman said “we need to work together” regarding the budget and the weak economy. According to at least one report, the Fed may consider a program aimed at making it cheaper for businesses to borrow money for investments in addition to reducing rates on mortgages and other consumer loans.