• This is a ‘dangerous predicament’
• Fed has ‘refueled the gas tank with liquidity’
• Limit to what the Fed can do to create jobs, all we can is to create liquidity. Unemployment is a problem
• Inflation is not an issue in US at the moment
• Liquidity that the Fed has created will sit on the sidelines unless people given incentives to use it
• US regulatory set-up needs to be rebooted, ‘stuck in a time-warp’
• Need to fix fiscal situation in a way that makes US competitive with the rest of the world
• Believes Fed should go back to a single mandate as a Central Bank
• US should extend free-trade reach