Bernanke: Replace sequester with gradual spending cuts

Federal Reserve Board Chairman Ben Bernanke says that low interest rates have spurred the housing recovery and auto sales, but the Fed can't do all the work to help the economy recover. In comments before the Senate banking committee, Bernanke says that the $85 billion in automatic cuts being faced by lawmakers should be replaced with "policies that reduce the federal deficit more gradually in the near term but more substantially in the longer run."

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