Carson Comments on Lowering of Interest Rates
WASHINGTON, D.C. – Congressman André Carson, a member of the House Financial Services Committee, released the following statement today after Federal Reserve Chairman, Ben Bernanke, announced the lowering of federal interest rates. This is the seventh reduction in the federal funds rate since last September.
"With the housing crisis and credit crunch hurting American workers and hindering economic progress, I am hopeful that the lowering of federal interest rates will help those struggling to make ends meet.
"However, with foreclosures continuing to rise while housing values steadily decline; it is incumbent that President Bush works with Congressional Democrats in doing more to rebuild our crumbling housing markets.
"I also lend my strong support to the federal reserve bank's current market liquidity measures such as the term auction facility and its regulatory policies that seek to harmonize mortgage lending practices and mitigate financially unsound subprime lending practices. A federal fund rate of 2.0% will help the mortgage market, but it is clear that further rate cuts and other policy actions will be needed to fully halt a deepening recession."
"The American people are in urgent need of an aggressive, all-inclusive policy approach like those adopted by Democrats on the House Financial Services Committee that helps families avert foreclosure, allocates additional funding for the construction of more affordable rental units and gives local housing authorities the resources they need to make public housing more safe, secure and accessible."
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