No Recession Exists Now, Says Martin: Reserve Head Cites Some ...
The NationÛªs chief money manager yesterday acknowledged that the economic advance may have leveled off but said flatly that there is no recession right now.</br></br>Chairman William Mc-Chesney Martin of the Federal Reserve Board gave this appraisal to critical Democrats on the House Banking Committee.</br></br>ÛÏI think you can say categorically there is not at the moment a recession, a pause perhaps. What the future holds I canÛªt say. The summer is always a difficult period to assess. There is a lot of pessimism that is not in my judgment warranted by the figures.Û</br></br>Patman, in line to succeed retiring Rep. Brent Spence (D-Ky.) as the CommitteeÛªs chairman, warned Martin that ÛÏhis policy of high interest and tight moneyÛ could produce a ÛÏMartin crash.Û</br></br>Martin retorted that the Fed eral Reserve had in fact been pursuing an easy money policy for 18 months.