In a slow recovery from last year’s prolonged global recession, the Fed is preparing to tackle the next phase of its recovery plan: getting the timing right in pulling the trigger towards policy-shift. Dallas Federal Reserve Bank President Richard Fisher, last September 3, 2009, said that given proper conduction and regulation, inflation becomes a minimal risk in the whole recovery plan.

Until 2011, Fed watchers are not expecting sudden movements in interest rates. Although in the first half of 2010, rates with regards to derivatives are expected by traders to go up.

Mark Zandi, chief economist from Moody’s Economy.com, states that it was by no accident that the recession subsided when the government’s stimulus plan was providing its greatest impact. And even if there are still many skeptics with regards to the bail-out plan, there is a popular agreement that if not for the stimulus package, markets and economies will be in a deeper ditch than what they are experiencing right now.

Says Bill Hampel, chief economist of the Credit Union National Association, “The actions of the Fed and Treasury starting last October actually worked, regardless of how unpopular they were… It was messy. It was dirty. It required a lot of money. But they were successful in preventing the implosion of a lot of institutions.”

The tools are indeed helping, albeit very slowly and gradually, in fixing up the present economic mess. The United States economy is now being primed to be a more savings-driven economy rather than a consumption-driven one.

Revenues for many companies are hard to find and many big names have activated their S.O.S signals in the hopes of getting the needed help from the government to keep their business machines from running. Firms, Fisher adds, “will continue to focus on cost control, most painfully by shedding workers and driving those who remain on the payroll to higher levels of productivity.”

Though it is really good to see the positive effects of the stimulus plan molding into place, many are still wary that in the long run, the toll and burden of these packages will be handed over to businesses and consumers themselves. This will make stabilizing these chances an entirely new phase in this gradual recovery process.