We’ve never had a decline in house prices on a nationwide basis. So, what I think what is more likely is that house prices will slow, maybe stabilize, might slow consumption spending a bit. I don’t think it’s going to drive the economy too far from its full employment path, though.

The more important reason is that the research itself provides an important long-run perspective on the issues that we face on a day-to-day basis.

Weaker currencies abroad mean a strong dollar, and a stronger dollar, together with a weak global environment, is a drag on the U.S. economy. So it's important, as it affects overall levels of production and employment in the U.S. There are many domestic industries doing well in the United States, notwithstanding a strong dollar.

We do not expect significant spillovers from the subprime market to the rest of the economy or to the financial system.

Among the largest banks, the capital ratios remain good and I don’t expect any serious problems . . . . among the large, internationally active banks that make up a very substantial part of our banking system.

Nobody really understands gold prices and I don't pretend to understand them either.

I'd throw dollars out of helicopters if I had to, to stimulate the economy.