Bernanke and Obama are likely to disagree on stimulus exit

10/26/2009 | Politico (Washington, D.C.)

The Federal Reserve, led by Chairman Ben Bernanke, will make the call on when to exit $1 trillion in economic-stimulus policies. The Fed will focus on keeping inflation down, while President Barack Obama is concerned with creating more jobs. The different goals likely mean Bernanke and Obama will be at odds over the timing. "The exit will be so difficult," said economist Joseph Brusuelas. "Bernanke wants to engineer a recovery that does not include inflation. Obama wants a more robust recovery and like many political actors may be willing to [accept] a little inflation for a little more employment."

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Politico (Washington, D.C.)