The Federal Reserve Bank (the Fed) has the power to take bold steps to stimulate economic recovery and fulfill its mandate to strive for maximum employment. The Fed used these powers to rescue Wall Street. We the undersigned petition for similar aid on behalf of the rest of us -- the working people, the unemployed, and small businesses of this country.
The Fed can DIRECTLY influence job-creation by creating special facilities for directed lending and incentives for banks to relax lending terms for credit-starved sectors. (The Bank of England--similar in function to the Fed--has done this.)
The Fed can support economic recovery by helping to organize and finance major projects like modernizing infrastructure, public works, and supporting post-hurricane reconstruction.
The Fed also has power to directly support debt reduction for under-water home mortgages to stabilize neighborhoods and support families.
These Federal Reserve expenditures will not add to the federal debt and are not inflationary in a stagnant economy with abundant unused economic capacity.
Revitalization of our decaying and outdated public assets advances the public interest in addition to aiding the unemployed, the under-employed and those straining under massive debt. We call on the Fed to act now and turn our economic challenge into an opportunity to restart the economy and put it on firmer footing for the future.