Monetary policy itself cannot sensibly be directed at reducing imbalances.

The choice is between which mistake is easier to correct: underdoing it or overdoing it.

Financial crises require governments.

The substantial uncertainty about the path of asset price movements going forward necessarily reduces the case for altering policy in advance of the move.

The world is likely to view any temporary extension of the income tax cuts for the top two percent as a prelude to a long-term or permanent extension, and that would hurt economic recovery as well by undermining confidence that we're prepared to make a commitment today to bring down our future deficits.

Looking past the immediate crisis, a more resilient system must be built on stronger and better designed shock absorbers, both in the major institutions and in the infrastructure of the financial system.

I think we're not going to preserve Fannie and Freddie in anything like their current form. We're going to have to bring fundamental change to that market.

We judged that a sudden, disorderly failure of Bear would have brought with it unpredictable but severe consequences for the functioning of the broader financial system and the broader economy, with lower equity prices, further downward pressure on home values, and less access to credit for companies and households.

There is a basic lesson on financial crises that governments tend to wait too long, underestimate the risks, want to do too little. And it ultimately gets away from them, and they end up spending more money, causing much more damage to the economy.

The major economic policy challenges facing the nation today - pick your favorites among the usual suspects of low public and household savings, concerns about educational quality and achievement, high and rising income inequality, the large imbalances between our social insurance commitments and resources - are not about monetary policy.

And I think it's a prudent, responsible way, given the scale of the emergency, the scale of the damage still facing America, that we finance these additional support for the unemployed as well as the support for small business. We think there's a good case for doing it now. We want to do it in an overall fiscally responsible way.

Never before in modern times has so much of the world been simultaneously hit by a confluence of economic and financial turmoil such as we are now living through.

Some think that by preparing to deal with crises you make them more likely. I think the wiser judgment is the contrary. In this area at least, if you want peace or stability, it's better to prepare for war or instability.

As financial markets continue to broaden and deepen, the behavior of asset prices will play an important role in the formulation of monetary policy going forward, perhaps a more important role than in the past.

I personally believe that there's going to be a good case for the government preserving some type of guarantee to make sure that people have the ability to borrow to finance a house even in a very damaging recession. I think there's going to be a good case for that.

Although this crisis in some ways started in the United States, it is a global crisis. We bear a substantial share of the responsibility for what has happened, but factors that made the crisis so acute and so difficult to contain lie in a broader set of global forces that built up in the years before the start of our current troubles.

Monetary policy itself cannot sensibly be directed at reducing imbalances.

The recognition that things that are not sustainable will eventually come to an end does not give us much of a guide to whether the transition will be calm or exciting.

This crisis is not simply a more severe version of the usual business cycle recession, the typical downturn in which economies ultimately adjust and stabilize.

The government can help, but we need to make this transition now to a recovery led by private investment, private.

In the financial system we have today, with less risk concentrated in banks, the probability of systemic financial crises may be lower than in traditional bank-centered financial systems.

The rest of the world needs the US economy and financial system to recover in order for it to revive. We remain at the center of global economic activity with financial and trade ties to every region of the globe.

We will not support returning Fannie and Freddie to the role they played before conservatorship, where they fought to take market share from private competitors while enjoying the privilege of government support.

The plausible outcomes range from the gradual and benign to the more precipitous and damaging.

This crisis exposed very significant problems in the financial systems of the United States and some other major economies. Innovation got too far out in front of the knowledge of risk.

Most consequential choices involve shades of gray, and some fog is often useful in getting things done.

It is very important for people to understand that the United States of America and no country around the world can devalue its way to prosperity, to be competitive. It is not a viable, feasible strategy, and we will not engage in it.

But what we're determined to do, and what the reforms will do is to make sure this system goes back to its core purpose of taking the savings of Americans and from investors around the world and allocating those to people with an idea, not just the largest companies in the country, but to small businesses with an idea and a plan for growing.

Most consequential choices involve shades of gray and some fog is often useful in getting things done.

There's more than a few remnants left in German welfare policy today. Many Germans eagerly condemn Hitler's fascism but won't examine the other reasons why the Third Reich succeeded for a season.

From now on it is only through a conscious choice and through a deliberate policy that humanity can survive.

It was also during my tenure of office that the Japanese Government agreed to the conclusion of a Nuclear Non-Proliferation Treaty and signed it, pursuing a policy in harmony with the avowed desire of the people.

As a member of this court I am not justified in writing my private notions of policy into the Constitution, no matter how deeply I may cherish them or how mischievous I may deem their disregard.

To me our bombing policy appears to be suicidal. Not because it does not do vast damage to our enemy, it does; but because, simultaneously, it does vast damage to our peace aim, unless that aim is mutual economic and social annihilation.

It was an idea we had when Al was in the Senate - to organize and moderate an annual conference that would look at government policy through the lens of the family to help identify ways that the family can be supported and strengthened.

Handcuffing the ability of states and localities to develop clean fuels in the cheapest possible way, using local resources, is not sound or sensible policy.

I'd like to do policy and I'd like to do philosophy, I'd like to be able to get into the depth, into the meat of the argument - that's the kind of stuff I want to do.

While Kuwait is not a democracy, giving only half the population a voice in their government is not a policy this Congress should support and one that I am glad that Kuwait's leaders are changing.

I have a policy that I get to spend as much on myself as I give away.

We have the most flexible and adaptive economy. Making sure we sustain the ability of the American economy to perform well is really the priority of economic policy.

The increase of territory and power of empires by force of arms has been the policy of all great powers, and it has always been possible to get the approval of their state religion.

From this experience we have learned that in a big party it is important to have the necessary and often controversial discussions on policy issues such as the health system while in opposition.

And in Iraq we tried to implement the same policy that was so successful in Saudi Arabia, but Saddam Hussein didn't buy. When the economic hit men fail in this scenario, the next step is what we call the jackals.

During the past few years I have led a sometimes hard battle for German foreign policy.

Soon we saw that money going to women brought much more benefit to the family than money going to the men. So we changed our policy and gave a high priority to women. As a result, now 96% of our four million borrowers in Grameen Bank are women.

The people who make policy decisions should damned well know what they are talking about before they make the decisions. There is nobody who is an expert on cloning who would be afraid after seeing Attack of the Clones.

For the past several years, the Meth Caucus has worked to engage the Office of National Drug Control Policy on this issue. We have tried to get their attention that meth requires a strong, comprehensive Federal policy.

I think it's a lovely idea, but it will not pass the Congress. I live in a world of realities. The policy of our country is that we can drill our way to independence. I think that's a march to folly.

We have to define and put into practice a better, more coherent and effective policy on income security.