http://www.nytimes.com/2012/01/13/business/transcripts-show-an-unfazed-fed-in-2006.html

Some selections:

Janet Yellen: “Of course, housing is a relatively small sector of the
economy, and its decline should be self-correcting,”

Janet Yellen: “It’s fitting for Chairman Greenspan to leave office
with the economy in such solid shape."

Susan Bies: "I really believe that the drop in housing is actually on
net going to make liquidity available for other sectors rather than
being a drain going forward, and that will also get the growth rate
more positive.”

Ben Bernanke: “I think we are unlikely to see growth being derailed by
the housing market.”

And the best of all:

Geithner: “I’d like the record to show that I think you’re pretty
terrific, too. And thinking in terms of probabilities, I think the
risk that we decide in the future that you’re even better than we
think is higher than the alternative.”
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