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...world "may well have averted the collapse of the global financial system, an event that would have had extremely adverse and protracted consequences for the world economy," Bernanke said. Market improvements were already allowing the Fed to unwind some of the extraordinary actions it took last fall, with credit extended to banks and other financial firms declining from $1.5 trillion at the end of 2008 to less than $600 billion now. Congressional meddling in Federal Reserve decision-making - there are proposals to increase Congress's audit authority over the Fed - could bring a "perceived loss of monetary policy independence" that...

Author: /time Magazine | Title: Bernanke Defends Fed's Actions Before Congress | 7/21/2009 | See Source »

...with two decades of strong economic growth and the optimistic assumption that they would be better off than their parents, just as their parents did better than the generation before them. The realization that Nikes, Wiis and cell phones are not their birthright comes as a hard lesson. With credit tight, young Spaniards are finding it virtually impossible to buy their own homes. Many have been forced to move back in with their parents or put off plans to move out. "A whole generation is having its ambitions thwarted," says Daniel Lostao, president of the Youth Council of Spain...

Author: /time Magazine | Title: The Broken Hopes of a Spanish Generation | 7/20/2009 | See Source »

...them at a discount so they can turn a profit when the IOUs come due on Oct. 2. Meanwhile, Bank of America, Wells Fargo and Chase agreed to accept the IOUs at face value through July 10. After that, recipients will have to go to check-cashing storefronts or credit unions, which will take them at a fraction of the full price...

Author: /time Magazine | Title: The World | 7/20/2009 | See Source »

...amount you can borrow is based on interest rates, your age and the value of your home. (Use the calculator at rmaarp.com for an estimate.) There are no credit or income requirements to get a reverse mortgage, but you must be able to keep up with property taxes and insurance bills--or you could lose your home. The up-front costs are high. Generally, $10,000 to $15,000 in fees are lopped off the amount you can borrow. Finally, if someone is pressuring you to take one of these loans in order to buy something else, that...

Author: /time Magazine | Title: The Pros and Cons of Reverse Mortgages | 7/20/2009 | See Source »

...allow students to cram the same courses into just two months. To earn an associate degree focusing on renewable energy - enough prep for a job as a solar-installation-team leader, which can pay up to $28 an hour - an ACC student has to take a total of 69 credit hours of courses, including solar photovoltaic systems, programming, physics, algebra, English composition and lab work. Average cost per credit hour for most students...

Author: /time Magazine | Title: Can Community Colleges Save the U.S. Economy? | 7/20/2009 | See Source »

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