Will The Fed's Latest Rate Cut Help The Economy?

For the second time in three weeks, the Federal Reserve has cut a key interest rate by half a percentage point, to 1 percent — the lowest level in four years. But is the action going to help get credit flowing again?

The short answer is that the cuts to the federal funds target should help, but not as much as would be expected under normal circumstances, NPR's John Ydstie tells host Michele Norris. He says the level of interest rates hasn't been the issue; the credit freeze stems from banks' unwillingness to lend for fear of not being paid back.

"These rate cuts aren't likely to ease the fears of not being paid back, but they will help struggling businesses and consumers," Ydstie says.

"That's because the federal funds rate dictates the prime rate. So businesses with existing credit lines and consumers with mortgages or credit card rates tied to the prime rate, they'll get a half-a-point rate cut, too," he says. "That should encourage some borrowing and consumption, and contribute to some economic growth."
Could the federal funds rate hit 0 percent?

Ydstie calls this a possibility. "The Fed is going to use every piece of ammunition it has to try to cushion this downturn, so we'll see just how low they go," he says.

From All Things Considered, October 29, 2008

To listen to this segment of All Things Considered in its entirety, please CLICK HERE to LISTEN NOW.

Do you agree with Ydstie that this new rate cut is going to help? If its not going to help, what do you think will? Please share your thoughts by clicking on “comments” below.

Donte Greene “Haunted” by Decision to Leave Syracuse

Donte Greene, former SU B-ball standout and 1st-Round NBA draft pick of the Sacramento Kings, was on Sportsnight this past Saturday. Donte touched upon a number of topics with Sportsnight host Chris McManus, and Danny Parkins. He spoke about how his decision to leave Syracuse “still haunts him today”, and how his believes that he is still “hated” up here (and that he had to change his phone # a few times to avoid some nasty calls).

Dante also talks about how he thinks he’ll do in the NBA…and how he thinks the team back at Syracuse will be this year. Plus…he speaks about his new found interest in Hello Kitty.

Listen to all 7 minutes of the interview; check out the WAER Sports section of Syracuse.com by CLICKING HERE.

What do you think about Dante? How do you feel about him leaving? Do you agree with how he thinks the team will be this year? Share your views below.

Palin's Campaign Cash

Media outlets report that the Republican National Committee (RNC) has spent more that $150,000 to clothe and accessorize vice presidential candidate Sarah Palin and her family since September. This includes bills from Saks Fifth Avenue in the amount of $49,425, Neiman Marcus for $75,062 and $4,716 on hair and makeup. Politico.com reports "the cash expenditures immediately raised questions among campaign finance experts about their legality under the Federal Election Commission's long-standing advisory opinions on using campaign cash to purchase items for personal use." A review of similar records for the campaign of Democrat Barack Obama and the DNC turned up no similar spending. Is this a legitimate campaign issue? Share your thoughts.

Bush Talks About the Economy

The economy didn't falter overnight, "and it's going to take a while for the credit system to thaw," Bush said just before the markets opened, speaking across a park from the White House at the U.S. Chamber of Commerce building, a symbolic headquarters of American business.

Despite a flurry of radical actions by the Bush administration and the Federal Reserve, banks in the United States and abroad are still wary of lending money to each other and to their customers. The credit clog is depriving the wheezing U.S. economy of oxygen.

Financial and credit problems have dragged on for more than a year and took a dangerous turn for the worse last month. All the fallout threatens to plunge the U.S. economy — as well as the world economy — into a painful recession.

That has led to erratic trading on Wall Street, where the Dow Jones industrials have swung widely, slashing a trillion dollars of wealth from the markets one day, only to pile some of it back on the next. The Dow fell more than 200 points shortly after opening on Friday, then recovered slightly.



Bush defended the recent deep government intrusions into private business, which would have been extraordinary for any U.S. administration but have been particularly so for a Republican president.

"I would oppose such measures under ordinary circumstances," Bush said. "But these are not ordinary circumstances."

Seeking to calm fearful investors, Bush said the steps are "big enough and bold enough to work."

From The Associated Press

Do you agree with the President? Are these steps actually going to work? Are we already in a recession? If you think so, how long do you think it will take us to get out of it? Voice your opinion: click “Comments” below.

Last Edition of "Voting for the Future"

Be sure to tune in on Thursday, October 16th at 7 pm for the last installment of our "Voting for the Future" special election reports. This series, hosted by Chris Bolt, WAER's News Director, touches on social and political topics relevant to the U.S. as a whole, and then discusses them in relation to their impact on Central New York. It is national news put in a regional context.

In this last edition of Voting for the Future, Chris will be considering the decisions ahead for the next president regarding the war in Iraq and military actions in Afghanistan.

How easy is it to make a decision to bring troops home and is that the right decision. How long would it take, even once such a decision is made? What kind of impacts has the war policy over the past five to seven years had on world opinion? And what impacts are we feeling here at home both economically and with the challenges of caring for veterans upon their return? In addition to the comments and viewpoints of experts, we invite you to call in with your questions and opinions.

So tune in Thursday, October 16th at 7 pm for "Voting for the Future, the War in Iraq," on your home for Music, News and NPR, WAER 88.3 FM.


Voice your opinion of the War in Iraq before the next WAER Voting for the Future election special. How should we define success? What would constitute a victory in this war? Which presidential candidate has the best policy for dealing with Iraq and
Afghanistan? Please click on “Comments” below to let your voice be heard.

Syracuse University : West Virgina University

Head to Head

On Saturday, October 11, at 12:00 Noon (Eastern Time), SU will take on West Virgina on the Mountaineers' home turf.

The West Virginia Mountaineers currently have a 2-2 record. Before facing the Orange, the Mountaineers face the Rutgers Scarlet Knights (1-3) this Saturday, October 4. This game may be a decent bellwether for how WV will perform against SU.

Don't miss WAER's live coverage of the game; tune in to 88.3 at noon on Saturday, October 11, and then listen again at 8 PM for the SportsNight segment, where we will recap the game.

Will SU win its second game of the season? Should there be a coaching change in the near future? Click on “Comments” below to share your thoughts now.

Programming Notes

Jazz to start airing at 8 PM

Now get more of the music you love earlier in the evening. Starting Monday, October 6, 2008 WAER moves jazz programming back to 8 PM Mondays - Fridays. Hear your favorite locally produced classic and contemporary jazz shows and NPR jazz programs immediately following Fresh Air.

Piano Jazz moves back to evenings

Marian McPartland's Piano Jazz, a forum for jazz legends and influential performers, can now be heard Thursday evenings at 8 PM starting October 9th. (Music Director Eric Cohen will aptly fill the vacated Thursday 3 PM time slot). For more information about Piano Jazz, please visit its Web site: CLICK HERE.

NPR's JazzSet is added to the schedule

Since 1992, NPR's JazzSet with Dee Dee Bridgewater has been the jazz lover's ears on the world of live music, taking listeners to hear top artists performing on stages around the world. Grammy and Tony award-winning Dee Dee Bridgewater introduces the artists and guides listeners through the hour program each week. Recent shows featured Kenny Barron and Eliane Elias live in concert. JazzSet airs Tuesday evenings at 8 PM starting October 7th. To learn more about JazzSet, please CLICK HERE.

Daily music service, JazzWorks, will start airing at 11 PM beginning October 6th.

Pulse of the Planet joins the lineup

Are you curious about mother earth? Tune in to Pulse of the Planet for a sound portrait of Planet Earth, tracking the rhythms of nature, culture and science worldwide while blending interviews and extraordinary natural sounds. Recent shows include Tsunamis, Climbing Giant Redwoods, and Ocean Dead Zones. The two-minute modules start airing October 6th on Mondays, Wednesdays and Fridays at 10:30 AM and 2:30 PM. For more information of Pulse of the Planet, please CLICK HERE.

WAER will no longer air News and Notes

In an effort to better meet the needs of our listeners, WAER will cease airing NPR's News & Notes weekday evenings at 8 PM and will replace it with music programming. Repeated listener requests to air music earlier in the evening and the declining audience for News & Notes are the reasons for the change. The program was never able to repeat the success it had airing weekdays at 9 AM. The move to 8 PM was necessitated by NPR's change in the show's production and satellite feed time. WAER sincerely regrets any inconvenience that this change may cause. Fans of the show can access the program daily on-line at www.npr.org.

Here's your chance to share your thoughts on the recent programming and schedule changes. Please click on "Comments" below and let us know what you think.

The "NPR Community"

NPR recently started their "NPR Community" initiative, explaining that: "We are making it possible for anyone who registers with us to comment on a story and to create a profile page where many interesting things can happen. We are providing a forum for infinite conversations on NPR.org. Our hopes are high. We hope the conversations will be smart and generous of spirit. We hope the adventure is exciting, fun, helpful and informative. This is important for the NPR community."

Current chatter in the NPR Community includes stories and comments with titles ranging from "House Rejects Bailout Bill; Wall Street Shudders," and "Palin Tries For Second Act On The Road," to "Exclusive Preview: Bob Dylan's 'Tell Tale Signs.'

NPR just barely beat WAER with their release of this community initiative! Very similar to their idea, the WAER Blog will serve the same purpose, but for the WAER listenership, in the Central New York area. We want to provide you, our listeners, with a forum in which you can voice your opinions on the issues most relevant to our community. Stay tuned on this issue, as we will be "going public" with the WAER Blog soon!

To learn more about the concept of "The NPR Community," please CLICK HERE; to actually visit the Community please CLICK HERE.

To add any thoughts, suggestions, comments, or anything else relevant to the WAER Blog, please click on "Comments" below and let us know what you think!