Paul Ryan says more stimulus from Fed a bad idea

WASHINGTON Fri Sep 7, 2012 2:10pm EDT

Vice presidential running mate Rep. Paul Ryan acknowledges the crowd at the final session of the Republican National Convention in Tampa, Florida August 30, 2012. REUTERS/Eric Thayer

Vice presidential running mate Rep. Paul Ryan acknowledges the crowd at the final session of the Republican National Convention in Tampa, Florida August 30, 2012.

Credit: Reuters/Eric Thayer

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WASHINGTON (Reuters) - Republican vice presidential nominee Paul Ryan said on Friday that another round of monetary stimulus from the U.S. Federal Reserve would be a bad idea.

Ryan's comments in an interview with CNBC came ahead of the Fed's September 12-13 meeting, where some economists think the policymakers will unveil another round of bond buying to prop up the country's weak economic recovery.

"All this easing is simply, in my opinion, the Federal Reserve trying to bailout bad fiscal policy," Ryan said. "I think the costs are clearly outweighing the benefits of this."

Ryan declined to comment on Republican presidential nominee Mitt Romney's position that, if elected, he would not reappoint Fed Chairman Ben Bernanke to a third term.

"I don't think it's appropriate to comment on what you do with personnel such as that," Ryan said. "I have known Ben a long time. He and I have disagreements on these issues, but (we) are respectful of one another."

Bernanke's second four-year term as chairman at the Fed ends January 31, 2014.

Many top Republicans have blasted the Fed's aggressive recession-fighting policies that involve ultra-low interest rates and purchases of billions of dollars in bonds and notes as overreaching and reckless.

Ryan has been a harsh critic of the Fed's loose monetary policy. He has backed legislation that would open up the Fed's monetary-policy decisions to congressional scrutiny and strip the central bank of its mission to seek maximum employment.

(Reporting by Jason Lange and Rachelle Younglai; Editing by Vicki Allen)

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Comments (19)
JLWR wrote:
I vigorously oppose everything Paul Ryan and the GOP stand for.

Sep 07, 2012 10:54am EDT  --  Report as abuse
ThailandEddie wrote:
No kidding? He opposes it? Maybe it is because if the economy gets a jump start before the election R&R will lose bigger than they already will. Or maybe it is because high unemployment acrually favors the moneyed and corporate classes? Whatever the nasty reason, I say to the stimulus: “Bring it on!”

Sep 07, 2012 11:21am EDT  --  Report as abuse
mikemm wrote:
This is more of a tactical statement influenced by politial aspirations than one based on actual substance.
Anything that helps the economy before election day hurts the Romney/Ryan ticket. A tepid economy is in thier favor. He’d probably still be against it regardless, but one certainly cannot consider him an independent voice in this matter at this point in time.

Sep 07, 2012 11:27am EDT  --  Report as abuse
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