Ben Bernanke testified about the state of the U.S. economy. In addressing the rise in unemployment and slow job growth during May 2012, he said the causes were unclear and did not necessarily mean that recovery was stalling, and that overall the Federal Reserve is relatively optimistic about the country’s economy. He also spoke at length in his opening statement about impending tax increases and budget cuts at the end of 2012 if Congress cannot reach a new budget agreement. He urged lawmakers to to “avoid unnecessarily impeding the current economic recovery.” He answered questions from committee members about the fiscal health of European Union, actions the central bank might take to boost the economy, the housing market, and other subjects.