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Full Transcript Of Ben Bernanke's "I Have No Idea Why The Economy Will Get Better But It Will" Speech And Q&A

Tyler Durden's picture


As noted in the title, for all those who wish to reread how Bernanke justifies the fact that he has no idea why the economy will improve, but it just will, damn it, here it is, complete with the full Q&A.

Chairs at An Transcript


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Wed, 06/22/2011 - 15:33 | 1392823 Caviar Emptor
Caviar Emptor's picture

The economy will get better for the following reasons:

-I exude confidence ! 

-The blind faith that we have in never fixing things that are broke (ooo I made a pun!) 

-Reagan proved that deficits don't matter, silly !

Wed, 06/22/2011 - 15:47 | 1392883 Crisismode
Crisismode's picture

Reason #4:

The general populace will believe every lie that the government and the Fed spew through the MSM, and therefore by the Power of Belief in The Big Lie, the economy will in fact dramatically improve.

Wed, 06/22/2011 - 16:32 | 1393071 LowProfile
LowProfile's picture

I managed to read a couple pages, but had to stop and stuff tampax in my ears to staunch the bleeding.

Thu, 06/23/2011 - 01:11 | 1393909 HungrySeagull
HungrySeagull's picture

I have no idea when Ben will sit and be quiet. Everytime he speaks the markets tremble and lose money.

Wed, 06/22/2011 - 15:36 | 1392841 traderjoe
traderjoe's picture

Two+ years of the same crap. Recovery is always right around the corner.

Green shoots. Mustard seeds. Summer of Recovery.


Wed, 06/22/2011 - 15:34 | 1392851 dwdollar
dwdollar's picture

Is this 'Summer of Revovery' version 2.0 or 3.0?  I've lost count...

Wed, 06/22/2011 - 15:44 | 1392873 hedgeless_horseman
hedgeless_horseman's picture

There is the moral of all human tales;
'Tis but the same rehearsal of the past.
First freedom and then Glory - when that fails,
Wealth, vice, corruption - barbarism at last.
And History, with all her volumes vast,
Hath but one page...

We are here.

Wed, 06/22/2011 - 15:53 | 1392904 TreadwCare
TreadwCare's picture

Excellent reference, thank you.

Wed, 06/22/2011 - 15:58 | 1392924 MacGruber
MacGruber's picture

I think we're still in the "Consummation" stage, and the powers that be are trying to fake it that way as long as they can. I'm waiting for Destruction, but it's ever so slow in coming.

Wed, 06/22/2011 - 16:25 | 1393040 SilverIsKing
SilverIsKing's picture

In order to get gold and silver moving, celebrities need to get talking about PMs, in simple terms cause most aren't capable of anything too complex, about the Fed, and the reason why owning gold (and silver) is important.

The masses don't listen to Schiff, Rogers, Faber, Keiser, etc but they do listen to Kim Kardashian, Snookie, and Lady Gaga.

I recall Gisele Bundchen and Jay-Z talking about being paid in Euros instead of USD because the dollar was getting trashed and that got a lot of press back in late 2007.  More celebs talking about buying gold because of Fed policy might wake a few sheeple.

Wed, 06/22/2011 - 17:11 | 1393225 Bay of Pigs
Bay of Pigs's picture

Mr T is onboard...what more do the sheep need?

Wed, 06/22/2011 - 22:26 | 1393694 A Nanny Moose
Wed, 06/22/2011 - 19:23 | 1393431 SilverDosed
SilverDosed's picture

Not gonna happen as a celebrity's career is even easier to destroy than a politician's. I wouldnt mind doing a little research on that Jay-z bit. I'm sure he got STFU calls from bosses he didnt even know he had on that one.

Wed, 06/22/2011 - 16:51 | 1393117 Caveman93
Caveman93's picture

Yes! You nailed it there! Thanks!

Wed, 06/22/2011 - 22:29 | 1393696 A Nanny Moose
A Nanny Moose's picture

Some part of the LA area burns every summer/fall...nothing new here. I think we may be most prepared fro the coming conflagration.


Wed, 06/22/2011 - 17:15 | 1393241 PY-129-20
PY-129-20's picture


dramatization, dramatisation [?dræm?ta??ze???n]

  1. (Performing Arts / Theatre) the reconstruction of an event, novel, story, etc. in a form suitable for dramatic presentation
  2. (Literary & Literary Critical Terms) the art or act of dramatizing

Example: (NO!)

Darth Vader

Frodo Baggins

Nite Owl

Jean Luc Picard



Thu, 06/23/2011 - 01:21 | 1393923 Fazzie
Fazzie's picture

 Well this is supposed to be V2.0 SP 1450 edition, but going by Bernankes speech, it looks like they are going back to the "green shoots" thing again.

 Green shoots is when "transitory" events call off the summer of recovery which miraculously awaits to blossom next summer with V3.0.

  The sequence is "bottom is in", "stabilizing" or "contained" followed by "green shoots" 0" then "better than expected" then "summmer of recoveryVX.0" then "expanding at a slower pace than expected," Then QE1-10, and repeat until the feds real mandate of selling out the middle class is complete.

  Society then consists of ignorant poor masses ie typical Obama electorate, and uber rich bankers.

  I understand your confusion, the Fed/CNBC/banker cartel /political puppet complex should at least make a govt phamplet availiable with a glossary to common propaganda terminology and try to standardize it a bit more.

Wed, 06/22/2011 - 15:49 | 1392882 Arius
Arius's picture

liars?  thats a bit harsh .... just tanking management i would say .... they cant just let it collapse all at once ...

i am looking forward to the next "leaker" joining the likes of john hilsenrath, bill gross etc... creative thinking .... was funny watching becky quick this morning asking people to email in what they thought should be in the FOMC statement ...

liars ... it goes without saying .... it has become all about communications ... how can we convince people to not panic and abandon ship - current solution: ask the orchestra to keep playing the music ...

Wed, 06/22/2011 - 15:36 | 1392842 Bam_Man
Bam_Man's picture

His credibility is now less than zero.

Shalom, Shalom!

Wed, 06/22/2011 - 15:37 | 1392845 Dr. Engali
Dr. Engali's picture

We will keep doing what we are doing until we get a different result.

Wed, 06/22/2011 - 23:46 | 1393788 carbonmutant
carbonmutant's picture

Ol' Ben sounds like he took a long hit off a nice tight Hopium blunt...

Thu, 06/23/2011 - 01:28 | 1393926 Fazzie
Fazzie's picture

 Laced with crack...

Wed, 06/22/2011 - 15:45 | 1392850 TruthInSunshine
TruthInSunshine's picture
"I Have No Idea Why The Economy Will Get Better But It Will" Speech And Q&A


That's perfect - and I do mean perfect - for the 10% of Americans who are fluent in english.

I have taken the liberty of producing an alternative title for those failed by the public schools (not all, but some), terrible parenting (not all, but some), and other malignant aspects of Amerika and Amerika values (including self-responsibility) and institutions (Amerika refers to the country formerly known as America, aka The United States of America):


Yo, brah, I aint got no crystal ball. Squid calls, tells me to pump, I pump. Squid sez dump, I dump. Aight?

Wed, 06/22/2011 - 17:42 | 1393279 radarthreat
radarthreat's picture


Wed, 06/22/2011 - 15:38 | 1392853 A Man without Q...
A Man without Qualities's picture

I felt there was almost a hint in Bernanke's voice that he was relieved he had a good reason (rising inflation) to hold off on more QE.  I wonder whether the banks and politicians have been pressing him to do more, but he's figured it only has a limited effectiveness and it just allows the politicians to keep spending.  Keynesian stimulus is one thing, but borrowing $4 billion a day to keep people in fried chicken and sweat pants really isn't doing anyone any favors.

Wed, 06/22/2011 - 18:26 | 1393349 davepowers
davepowers's picture

any relief in his voice may be his and the FED's self preservation instinct kicking in re QE.

It's one thing to set up a plan to save the world w QE purchases, another when QE 1 ladled the FED's balance sheet with possibly stinker MBS paper. He must look at the ECB and see how its B/S is even worse, loaded with Greek and other iffy pieces of electrons and paper.

QE may have all sorts of benefits for Wall Street and the banks and hedgies, but it always risks turning the central bank into the ultimate 'bad bank' where the crud is stored.

Bernanke may feel he got carried away in his 'save the world' mode w QE and is more than happy to kick that particular can down the road a bit.

In the final analysis, the FED will let the whole economy die if the alternative is the FED's self destruction.


Wed, 06/22/2011 - 15:35 | 1392854 entendance
Wed, 06/22/2011 - 15:36 | 1392857 Cheesy Bastard
Cheesy Bastard's picture

He hopes it will change.

Wed, 06/22/2011 - 16:48 | 1393103 lead salad
lead salad's picture

This is 'lil o's new 2012 campaign slogan.

Wed, 06/22/2011 - 20:47 | 1393581 topcallingtroll
topcallingtroll's picture

your video is supposed to show flapping titties.  Don't you know the rules?

Wed, 06/22/2011 - 15:40 | 1392859 thetrader
thetrader's picture

non event, let's watch shibor tomorrow....

Wed, 06/22/2011 - 15:41 | 1392865 Atomizer
Wed, 06/22/2011 - 16:19 | 1393006 NotApplicable
NotApplicable's picture

That version is outdated. They will never raise rates again.

Wed, 06/22/2011 - 15:42 | 1392867 redpill
redpill's picture

So it didn't get better during QE2, but it will get better without it?  How's that for central banker logic.

Thu, 06/23/2011 - 01:47 | 1393937 Fazzie
Fazzie's picture

 Yeah, because of "transitory" events that lead to "green shoots". The logic goes:

 Tsunami causes supply disruptions. (Hee Haw reference added: "Why thats bad!" "No thats good!")

 Supply disruptions cause pent up demand.

 Supply disruptions go away

 Pent up demand causes all that economic expansion and 5 % UE rate because of the flood of demand for items with Japanese parts presumably from unemployed cash strapped consumers who have tapped everything out.


   See! You have to be a central banker to see the answer to a world economic crisis in a tsunami melting down reactors in a large industrial country. Non PHD types can be excused for thinking such disasters are bad.

Wed, 06/22/2011 - 15:39 | 1392870 I think I need ...
I think I need to buy a gun's picture

i have a question...where does he see gold going

Wed, 06/22/2011 - 15:47 | 1392874 Re-Discovery
Re-Discovery's picture

Crazy to own equities here.  Event risk.  Political Risk.  Policy Risk.  Both inflation and deflation indicators.  We are precisely in the eye of the storm.

I think Ben just said he's going on vacation until August.  Probably literally.  Fend for yourselves.

Wed, 06/22/2011 - 17:02 | 1393139 topcallingtroll
topcallingtroll's picture

It's totally insane to own equities right now, which is why I went back into 100 percent high beta equities in my spec account.

EDIT.  I should say leveraged beta rather than high beta.

Wed, 06/22/2011 - 15:42 | 1392875 Fix It Again Timmy
Fix It Again Timmy's picture

And the rich [drum roll....] are still rich!  At ease, carry on...

Wed, 06/22/2011 - 15:47 | 1392878 ebworthen
ebworthen's picture


Yet another hole to plug:

"Post office suspends retirement contributions"


Wed, 06/22/2011 - 15:44 | 1392885 FunkyMonkeyBoy
FunkyMonkeyBoy's picture

The Bernanke should have just told the truth:

"Look, i don't need to worry about how the economy is going to get better because my masters are currently creating world war III that will wipe most of you pathetic sheeple out. For those of you that survive, your wealth will be taken instead."

New World Order not far off now.

Wed, 06/22/2011 - 15:45 | 1392887 NERVEAGENTVX

The light at the end of the tunnel that I think the Bernak was trying to describe is really a Mack truck.

Thu, 06/23/2011 - 01:19 | 1393915 HungrySeagull
HungrySeagull's picture

Forget the Mack R model, make it a SD70 in notch 8 with the fence up.

Wed, 06/22/2011 - 15:50 | 1392889 Guarded Pessimist
Guarded Pessimist's picture

Baseless optimism.

Wed, 06/22/2011 - 15:52 | 1392895 RobotTrader
RobotTrader's picture

Seems like all the hedge funds are now daytrading "Risk On, Risk Off" on an hourly basis, gunning their trades off the slightest wiggles on a 2-minute chart of USDX.

LOL..what a casino.

Wed, 06/22/2011 - 16:40 | 1393089 d00daa
d00daa's picture

But you "went long" yesterday, right Fader?  Stop out already??  LMFAO

Wed, 06/22/2011 - 15:49 | 1392902 spartan117
spartan117's picture

I wonder when this game will end. 

Wed, 06/22/2011 - 15:56 | 1392915 XRAYD
XRAYD's picture

I think, therefore, I print.

Wed, 06/22/2011 - 15:55 | 1392927 Cheesy Bastard
Cheesy Bastard's picture

I think, therefore I scam.

Wed, 06/22/2011 - 16:54 | 1393146 A_MacLaren
A_MacLaren's picture

I scam when I print.

Wed, 06/22/2011 - 17:19 | 1393250 XitSam
XitSam's picture

By the light of tungsten bars' glint

Inflating, my job is to print

All for the banks

The economy tanks

Then for the exit I'll sprint.

Thu, 06/23/2011 - 01:16 | 1393917 HungrySeagull
HungrySeagull's picture

Tungsten should be good for making war. Especially now that I think there is no domestic mines of the stuff.

Wed, 06/22/2011 - 15:55 | 1392929 oogs66
oogs66's picture

Looks like he read tyler's piece about debunking the Greek CDS exposure myth.

Wed, 06/22/2011 - 16:00 | 1392932 Motorhead
Motorhead's picture

Anybody have the Princeton fight song handy (text or audio clip)?  Rah-rah!

Wed, 06/22/2011 - 15:58 | 1392935 Motorhead
Motorhead's picture

Anybody have the Princeton fight song handy (text or audio clip)?  Rah-rah!

Wed, 06/22/2011 - 16:02 | 1392937 XRAYD
XRAYD's picture

I think, therefore, I print.

Wed, 06/22/2011 - 16:02 | 1392955 LaLiLuLeLo
LaLiLuLeLo's picture

It's very clear that the illusion of control is slipping.

We need to start taking our money out the banks; lets starve these fuckers

Wed, 06/22/2011 - 16:05 | 1392964 Highrev
Highrev's picture

"I Have No Idea Why The Economy Will Get Better But It Will" Speech

That's the best characterization I think possible.

Another, perhaps second place title would be the "We're Really not Sure" Speech.


Wed, 06/22/2011 - 16:09 | 1392965 SeverinSlade
SeverinSlade's picture

At this point, I don't see how anyone can actually believe a single word that comes out of Bernanke's mouth.  He's been perpetually wrong on almost EVERY issue since becoming Fed chairman.  The fact that he pretty much said, "Wellsir I sure dunno why that gosh dern economy aint doin as well as i thought.  Figyerd throwin' a big pile o'money at it wood fix everythang!  Instead it juss catched on fiar!  So Ima let it burn for a lil whaile longa.  Than in a few months ima try and put owt that big ol' fire with even mo money!"

And this guy has a PhD in economics?  Oh wait, right.  PhD in Keynesian economics.  So it all makes sense.  According to Keynes, he's earning an A+ right now!

Wed, 06/22/2011 - 16:29 | 1393060 css1971
css1971's picture

I came to the conclusion several years back that no matter how smart you think you are, no matter how fast you can run, no matter how strong you are. If one of your beliefs or assumptions are wrong, then you are simply going to be running in the wrong direction, very hard and very fast.


Wed, 06/22/2011 - 16:10 | 1392970 VyseLegendaire
VyseLegendaire's picture

I wonder – if they replaced Bernanke with a sock puppet, and all the crowd with pre-recorded audio, would anyone notice? 

Not even the great puppet theater masters can achieve this level of storytelling.

Wed, 06/22/2011 - 16:11 | 1392994 SeverinSlade
SeverinSlade's picture

I think the only people that actually believe any of this are the talking heads on MSM.  It's like they're a bunch of kids that are dressing up as witches and pretending to be Harry Potter.  They believe their own creation of reality.  Meanwhile everyone else is standing back going, "What in the hell are those little fairies talking about?"

Wed, 06/22/2011 - 16:23 | 1393019 css1971
css1971's picture

No, it's just you.


Everyone else is nodding along. "Uh huh, uh huh"


You need to buy one of ZH's tin foil hats, they have them in the online store.

Wed, 06/22/2011 - 16:11 | 1392977 Hedgetard55
Hedgetard55's picture

no more heroin until the junkie has convulsions again.

Wed, 06/22/2011 - 16:14 | 1392990 TruthInSunshine
TruthInSunshine's picture

"Give me control of a nation's money and I care not who makes the laws."

- Mayer Amschel Rothschild

Wed, 06/22/2011 - 16:15 | 1392992 gkm
gkm's picture

Because money printing, for lack of a better word(s), is good. Money printing is right, Money printing works. Money printing clarifies, cuts through, and captures the essence of the evolutionary spirit. Money printing, in all of its forms; Money printing for life, for linen, for love, knowledge has marked the upward surge of mankind. And Money printing, you mark my words, will not only save the Fed, but that other malfunctioning corporation called the USA. Thank you very much. 

Wed, 06/22/2011 - 16:16 | 1392998 SeverinSlade
SeverinSlade's picture

I think we should elect Money Printing for President in 2012!

Wed, 06/22/2011 - 16:33 | 1393075 the not so migh...
the not so mighty maximiza's picture

Money Printing for America, 2012

Wed, 06/22/2011 - 16:24 | 1393021 FMR Bankster
FMR Bankster's picture

Here we are, back to the confidence game again. And with all confidence games there are two players, the confidence man (bankers and their goverment stodges) and the marks. Guess who that is. They should tar and feather this clown Bernanke and send him back to some moronic ivy leage school where they believe this crap.

Wed, 06/22/2011 - 16:36 | 1393073 the not so migh...
the not so mighty maximiza's picture

Wait a minute, he prints the money and he doesn't have a clue whats going on, this is not a confidence builder to me.

Wed, 06/22/2011 - 16:47 | 1393101 Caveman93
Caveman93's picture

I know! He'll use "Magic"! It's fucking magic! Am I right?

Wed, 06/22/2011 - 16:47 | 1393116 gwar5
gwar5's picture

Bernanke's, "I have a Dream" speech....

Wed, 06/22/2011 - 17:03 | 1393190 PulauHantu29
PulauHantu29's picture

The recovery?......Has something to do with agriculture... "green shoots" right?

Wed, 06/22/2011 - 17:05 | 1393196 Fix It Again Timmy
Fix It Again Timmy's picture

If the Russians, during WWII, thought like the Great Bernanke, we'd all be speaking German, today.  Is there anybody out there with a plan and the balls to execute it?

Thu, 06/23/2011 - 01:24 | 1393919 HungrySeagull
HungrySeagull's picture

When Germany made a grab for Moscow, the Russians loaded up the machinery, parts, factroies and entire industry onto trains and sent them into the Urals. Then returned with men and war material ready for spring.

When Napoleon marched to Russia, not many made it back.

It would be easier for us to replace Ben with someone else and actually get something done instead of time wasting committee meetings that are not seen by the sheep anyway.

It's exhausing listening to the big words. They should simply say this.

Ben! Show me the Money!

Dunno, it will come.


Done and done in a few minutes.

Wed, 06/22/2011 - 17:09 | 1393212 Feel the flow
Feel the flow's picture

Hmmm wonder what creative wording QE3 will be transformed into?

Preserve your wealth in something real:

And real useful!

Wed, 06/22/2011 - 17:20 | 1393252 carbonmutant
carbonmutant's picture

 Let us help you manage your savings...

Wed, 06/22/2011 - 17:29 | 1393262 Bansters-in-my-...
Bansters-in-my- feces's picture

Delusional Fucktard......

Wed, 06/22/2011 - 17:27 | 1393267 f16hoser
f16hoser's picture

Maybe, just maybe, Bernanke is dummer than a box-of-rocks and we give him far too much credit for being an educated man........

Wed, 06/22/2011 - 18:18 | 1393336 I_am_always_right
I_am_always_right's picture

+ 1000,000,000,000!


Wed, 06/22/2011 - 18:28 | 1393354 nicktd
nicktd's picture

Can transcript be word clouded? Seperate the Qs and As words. Thought i heard that this soft patch was transitory.

Thu, 06/23/2011 - 01:25 | 1393922 HungrySeagull
HungrySeagull's picture

Soft patch as the Tundra gets when sufficient amount of hot shit gets piled up long enough above.

Wed, 06/22/2011 - 18:57 | 1393396 goldencross10
goldencross10's picture

Cotton limit up, "transitory" also limit up

Wed, 06/22/2011 - 20:22 | 1393547 Buck Johnson
Buck Johnson's picture

All he and others are doing is buying time and trying to figure out how to push austerity onto the 1st world countries without it looking like austerity. 

Wed, 06/22/2011 - 21:22 | 1393625 nathan1234
nathan1234's picture

Ben "I have no idea why Americans continue to allow me to be to be the Fed Chairman, let alone why they still persist with the Fed"

Wed, 06/22/2011 - 22:30 | 1393700 A Nanny Moose
A Nanny Moose's picture

Be afraid. Be very afraid.

Wed, 06/22/2011 - 22:57 | 1393733 Clinteastwood
Clinteastwood's picture

Slow,...........slowing,.........somewhat grinding........halt.


That's the economy Greensputnik and the Bernank have left us with.


And now,...........we who actually produce wealth are left to deal with it.

Wed, 06/22/2011 - 23:04 | 1393734 Clinteastwood
Clinteastwood's picture

Slow,...........slowing,.........somewhat grinding........halt.

That's the economy Greensputnik and the Bernank have left us with.

And now,...........we who actually produce wealth.......

......are left to deal with it.


Thu, 06/23/2011 - 01:27 | 1393925 HungrySeagull
HungrySeagull's picture

Don't worry, there is a economy developing.

I do this for you if you do that for me.

Do NOT follow this link or you will be banned from the site!