In the final months of 2009, Dallas Federal Reserve Bank Chairman Richard Fisher said that the US economy will have a “good snap back” with regards to its recovery from the recession, though the process will still be a “slow crawl”. He says it is encouraging and helpful that the economy over-all has experienced strong third and fourth quarters, but still stressed that the problem is far away from being solved and the next problem they will be facing is maintaining the growth and creating more jobs for the people.

Fisher states that it is still early to give assumptions on how the Fed will be implementing its move with regards to the interest rates and when will it start to reverse the relatively easy monetary policy that has seen it lower its benchmark rates to almost zero in December of 2008.

He says it is essential to feel our way into this. “We have to be forceful, or we may have to be gradual. It depends on the circumstances.” All in all, knowing which policies worked and improving on those that resulted to less success will keep the recovering economy from hitting a road block.

There have been many actions taken up by the Congress to jumpstart the economy for recovery from this recession, which has not only adversely affected the US economy alone, but the world economy as well. In 2008, Congress endorsed a blank check to compensate for the losses of mortgage finance giants Frannie Mae and Freddie Mac while also creating a $700 billion package for banks in its Troubled Asset Relief Program. Earlier this year, the Congress passed a $787 billion stimulus package endorsed by President Obama to help ailing companies recover their losses.

The Fed also slashed rates to nearly zero as it sought to bail out struggling financial firm AIG and to support mortgage-backed securities and many other lending institutions.

Fed Chairman Ben Bernanke pointed out that not only the Fed and the Congress, but also other central banks and economies all over the world should be given credit in preventing a major breakdown and stopping the world economy from succumbing into a bigger economic depression.