Bloomberg: Stimulus Spurring U.S. Employment in Housing
Bloomberg reported that Federal Reserve chairman Ben S. Bernanke has something to tout before Congress in hearings this week: job growth in the auto and housing industries.
The article said because consumers rely on loans to buy cars and homes, these segments of the economy are among the most responsive to Bernanke’s strategy of holding interest rates low and pressing on with bond purchases of $85 billion a month.
Bernanke and his colleagues on the Federal Open Market Committee have pledged to continue buying bonds until the labor market improves “substantially.” Climbing employment in construction and vehicle manufacturing bolsters the case that asset purchases can help spur the improvement, Bloomberg said.
To read the full Bloomberg article click here.