Fed Chief Endorses Stimulus

Congress is debating possible stimulus solutions, including tax rebates or the extension of the tax cuts President Bush put into place in 2001. Bernanke emphasized however, that the best and most useful stimulus would be one that addresses the immediate needs of the economy within the next two to three months.

Bernanke's testimony suggests "the inertia in Washington is dissipating in the shadow of a decelerating economy," writes Joe Brusuelas, chief economist at IDEAglobal.