Fed’s departing Vice Chair on stocks, the federal debt and transparency

Stanley Fischer is resigning early as vice chair of the Federal Reserve after three years at the central bank. His term was set to expire next June. Before becoming second in command to Fed Chair Janet Yellen, the former MIT economics professor served as head of the Bank of Israel and as a top official at the International Monetary Fund, the World Bank and Citigroup.

In an interview with NPR’s Robert Siegel, Fischer says that despite record highs in the stock market — boosted by the Fed’s low interest rates — he doesn’t see a bubble. Fischer also says that the $20 trillion national debt is not worrisome currently, but if interest rates go up that could cause “significant problems” for the federal budget.

Critics have said the Fed isn’t transparent enough, but Fischer says releasing transcripts of Fed meetings immediately could inhibit frank discussions among policymakers.

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