Congressman Barney Frank, the Chair of the House Financial Services Committee, went on a CNBC program called Street Signs today, where host Erin Burnett opened with a question about St. Louis Fed President James Bullard. Mr. Bullard, of course, made news today for joining the Paul Krugman camp that’s worried about the chances that the U.S. will become “enmeshed in a Japanese-style deflationary outcome within the next several years.”
“Is there a will or a way,” Ms. Burnett asked, “for Congress to do anything else for the U.S. economy?”
“Well, first, I think that’s much too pessimistic,” he said. “We are not in a situation of Japan, I believe. We’ve learned from it. We’ve already done things.”
That’s settled, then.