The U.S. economy should continue to deliver moderate growth but there is limited scope to pick up that pace with the jobless rate “about as low as it can go,” former Federal Reserve Chairman Ben Bernanke said.
“We’ve got basically a 2 percent economy here and that means it doesn’t take that much to knock you off track,” Bernanke told attendees at the SkyBridge Alternatives Conference in Las Vegas on Wednesday. “We have already approached the limits of our capacity and unemployment is pretty much about as low as it can go, so we don’t have that extra capacity to create growth.”
Earlier this month, Bernanke told Bloomberg Television that the Trump administration’s plans to cut personal tax rates appeared ill-timed and may do little to spur a higher rate of economic growth. He’d recommended instead concentrating on policies that might boost supply, rather than fuel demand.
Still, Bernanke, who