That wasn't the headline of the WSJ article, but perhaps it should have been. I've had plenty of complaints about Bernanke's conduct myself, but the reality is that Bernanke took over the command of the Titanic just before it reached the iceberg. There was no way to steer clear at the point he took the helm, although he could have tried to lesson the damage (e.g. crack down on the abuses in the mortgage market and start yelling about the bubble from day 1). Anyhow, there is something offensive about seeing these economists, every one of whom somehow managed to overlook the growth of an $8 trillion housing bubble, criticize Bernanke. What would they have done differently? In the interest of full disclosure, reporters should point out that their "experts" missed the housing bubble. Also, those who have been around long enough missed the stock bubble as well.
--Dean Baker
