Bernanke hits out at debt ceiling impasse

FINANCIAL TIMES:  Ben Bernanke has lashed out at Washington’s pitched battle over an increase in the federal debt limit, calling it the “wrong tool” to force changes in fiscal policy.

“Failing to raise the debt ceiling in a timely way would be self-defeating if the objective is to chart a course toward a better fiscal situation for our nation,” the US Federal Reserve chairman said on Tuesday in some of his strongest words yet on fiscal policy, a subject on which he is normally cautious.

His comments raise the stakes for both sides if they fail to reach a deal to increase the debt limit but are likely to prompt a backlash from Republicans who want spending cuts in return for an increase in the amount the government can borrow…  (more)
EDITOR:  Bernanke was a “W” appointee to his initial term as Fed Chair in 2005.