The U.S. economy is on a solid course - with the Federal Reserve on track for further interest rate hikes, says Janet Yellen as she appears on stage alongside her three Fed chairmen predecessors. Hayley Platt reports.
US central bankers, past and present gather to calm fears of another recession. Fed chief Janet Yellen kicked off proceedings. Her three predecessors Ben Bernanke Paul Volcker and Alan Greenspan listening. (SOUNDBITE) (English) FEDERAL RESERVE CHAIR, JANET YELLEN, SAYING: "I certainly wouldn't describe this as a bubble economy. We have relatively weak global growth, but the U.S. economy has been doing well and domestic strength has been propelling us forward in spite of the fact that we're suffering a drag from the global economy." Yellen went on to defend her decision to raise rates at the end of last year. (SOUNDBITE) (English) FEDERAL RESERVE CHAIR, JANET YELLEN, SAYING: "We have continued to see good job performance, some evidence of inflation moving up, so that was our expectation when we raised rates in December. We indicated that we thought the path of rate increases would be gradual, and that remains our best guess and expectation that if the economy continues on the path it's on of of recovery, that further rate increases will be justified, I think we remain on a reasonable path, and I don't think December was a mistake." Alan Greenspan joined in by video link. (SOUNDBITE) (English) U.S. FEDERAL RESERVE CHAIRMAN, ALAN GREENSPAN, SAYING: "We're facing with the demographics that we have in this country is a major expansion of debt under existing policy. I think unless and until we address that issue, we're going to have problems that are not going to get resolved." Yellen went on to say the labor market was "close" to full strength and that inflation was currently held back by temporary factors.