WASHINGTON — Democratic presidential candidate Barack Obama and Treasury Secretary Henry Paulson on Tuesday discussed the mortgage crisis and steps the government is taking to shore up the faltering economy, his campaign said.
Obama also discussed the economy with Federal Reserve Chairman Ben Bernanke, part of his latest effort to shift his campaign’s attention to domestic issues.
The Illinois senator met with Bernanke for an hour and issued a statement describing the meeting as “informative.” Spokesman Michael Ortiz said they discussed the outlook for consumers and businesses and the effect of rising home foreclosures on families nationwide. They also talked about the “strengths of Fannie Mae, Freddie Mac and other financial institutions,” he said.
Ortiz said Obama “made clear his respect for the independence of the Federal Reserve system and the special importance of its role during periods of economic uncertainty.”
As part of the government’s effort to provide mortgage relief to hundreds of thousands of homeowners, Paulson has sought emergency power to rescue lending giants Fannie Mae and Freddie Mac.
