Fed chairman doesn't see elevated recession risks

ITTA BENA, Miss. (AP) — Federal Reserve Chairman Jerome Powell said today he does not feel the probability of a recession "is at all elevated," and that the country is continuing to see solid economic growth.

But in a visit to a historically black university in the Mississippi Delta, Powell said that many rural areas have not benefited from the national prosperity. He said those areas need special support, such as access to affordable credit to start small businesses and high-quality education to train workers.

"We know that prosperity has not been felt as much in some areas, including many rural places," Powell said in an address to a conference on economic development at Mississippi Valley State University. "Poverty remains a challenge in many rural communities."

Overall, unemployment remains near a half-century low and describes economic output as continuing at a "solid pace," Powell said during discussion with students at Mississippi Valley State University. Powell said that he doesn't see signs of an economic downturn on the horizon.

He noted, however, that 70 percent of the 473 counties in the United States designated as having persistent levels of poverty were in rural areas. Among the problems being faced in the Mississippi Delta, Powell said, were the loss of jobs in agriculture and low-skilled manufacturing because of automation and outsourcing of manufacturing jobs.

Powell said many rural communities have limited access to education resources.

"Mississippi is one of several mostly rural states where nearly half of residents lack access to good quality childcare, which is the main source of early childhood education," Powell said.