Monetary policy is not a panacea.

Monetary policy is not a panacea.

The people who best use their advantages, or overcome adversity, and work honestly are those most worthy of admiration.

The amount of currency in circulation is not changing. The money supply is not changing in any significant way.

I and others were mistaken early on in saying that the subprime crisis would be contained. The causal relationship between the housing problem and the broad financial system was very complex and difficult to predict.

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.

The impact on the broader economy and financial markets of the problems in the subprime markets seems likely to be contained.