Getting your player ready...
Ratcheting the Federal Reserve’s key rate from the current 1 percent down to zero can’t be ruled out. What some observers are saying:
“If conditions deteriorate considerably, the Fed could go down to zero. It is absolutely a possibility, but I don’t believe it is likely.”
Richard Yamarone, Argus Research
“The problem is not the interest rate. It is that no one is willing to loan, regardless of what the rate is. Lower rates will not make the problem go away.”
Sean Snaith, University of Central Florida economics professor
“The economic damage of the financial panic has already been done, and the Fed is trying to limit the damage as best it can.”
Mark Zandi, Moody’s Economy.com
