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Speech by Robert McTeer, Jr.

An excerpt from speeches before the Texas Economic Development Council and Best Southwest Partnership

Former Dallas Fed President Robert D. McTeer delivered these remarks in Dallas, Texas, Sept. 20, 2001.

Guilt over spending is a noble impulse. We naturally feel guilty enjoying ourselves so soon after such a tragedy. But although it's a noble impulse, it reflects a misunderstanding of how the economy works. People should realize that one person's consumption is another person's production. One person's spending is another person's income—and job.

I won't say, "Go spend." That would sound crass. But I will suggest that we all try to "get back to normal." If you had been planning to buy something, buy it. If you had been planning to take a trip, take it. Our decisions in these matters affect others as well as ourselves.

Robert McTeer

Robert D. McTeer Jr. was president and CEO of the Federal Reserve Bank of Dallas from 1991 to 2004.

The views expressed are my own and do not necessarily reflect official positions of the Federal Reserve System.