'Without modern precedent': Fed chief Powell warns economic recovery 'will come more slowly' than hoped

Federal Reserve Chairman Jerome Powell on Wednesday issued a stark warning about a potentially slow economic recovery from the coronavirus pandemic.

The Wall Street Journal reports that Powell argued that lawmakers in Washington shouldn't be afraid to inject more money into the economy, as he said that hopes for a quick recovery from the pandemic have dimmed in recent weeks.

"There is a sense, a growing sense I think, that the recovery will come more slowly than we would like," he said.

Powell argued that the "scope and speed of this downturn are without modern precedent, significantly worse than any recession since World War II," although he said that it would have been far worse without quick federal intervention to soften the blow for workers and businesses.

Nonetheless, Powell argued that now is not the time to take the foot off the gas pedal.

"The path ahead is both highly uncertain and subject to significant downside risks," he said. "Additional fiscal support could be costly but worth it if it helps avoid long-term economic damage and leaves us with a stronger recovery."