"But we also have to recognize that if markets are skittish and don't have confidence that we can tackle the tough problems of our medium- and long-term debt and deficits,then that also is going to undermine our recovery."
VOA: standard.2010.06.27
It doesn't appear likely that he will be able to hang on, whether that's in the mediumterm, or in long term or even, some people are wondering if that's possible in the short term.
The trouble is, if he's wrong - if the spare capacity isn't there - then this policy risks making the situation worse, by pushing up inflation over the mediumterm, and weakening confidence in the government's commitment to cut public borrowing and re-balance the economy.