Bernanke: Public transparency vital to Fed policy
WASHINGTON (AP) — Ben Bernanke is offering a broad defense of the Federal Reserve's policies under his leadership two months before his eight-year tenure ends.
Bernanke says the Great Recession made it essential for the Fed to become more publicly transparent so it could explain why record-low interest rates were needed to support the economy.
He says the recession meant the Fed's communications had to evolve in ways he didn't envision when he became chairman in 2006.
Bernanke is endorsing remarks Janet Yellen made last week at a Senate hearing on her nomination to succeed him. Yellen said the surest path to normal interest-rate policies will be for the Fed to keep doing all it can to promote a robust recovery.
Bernanke is speaking at the annual dinner of the National Economists Club.