WASHINGTON — Promising both continuity and independence, Ben Bernanke, President Bush's pick to head the Federal Reserve, yesterday began defining what sort of helmsman he'd be for the world's largest economy.

The president's chief economic adviser used his confirmation hearing before the Senate Banking Committee to signal lawmakers, Wall Street and foreigners holding U.S. debt that he'd stay the course set during Fed Chairman Alan Greenspan's 18-year tenure, which will end Jan. 31. But Bernanke, 51, a former Princeton University economist, also made it clear that he would be his own man.

"I assure this committee that, if I am confirmed, I will be strictly independent of all political influences," Bernanke said, stressing that the Fed's independence is "essential to that institution's ability to function effectively and achieve its mandated objectives."

Since becoming the head of the White House Council of Economic Advisers in June, Bernanke generally has avoided the spotlight. Yesterday's Senate hearing offered the first in-depth public exposure of his views.

Regarding high gasoline and natural-gas prices, he acknowledged that they've driven inflation to undesirable levels, but cautioned that the Fed can do little more than try to contain it through interest rate hikes. Since "monetary policy can't create more energy, it can't really solve the energy problem," he said.

Bernanke also testified that "there are better measures of inflation" than the widely used Consumer Price Index for all Urban Consumers, or CPI-U, which many economists think overstates inflation. This view is significant because the CPI-U is the gauge used when benefits such as Social Security are adjusted each year, and it also affects the standard deduction from federal income taxes.

Bernanke supports changing the inflation measure, but didn't endorse a specific alternative. However, lending his stature as Fed chief to such a move could provide cover to politicians looking to reduce promised Social Security benefits or raise revenues.

On another front, Bernanke defended setting explicit targets for inflation, contending that doing so would inform public expectations of inflation and thus influence private-sector wage and price decisions. That stance put him at odds with Greenspan, who prefers less rigid inflation targets that leave more room for flexible policymaking.

Bernanke defended inflation targets as an "incremental step" toward greater transparency in Fed decision-making, but said he wouldn't impose them — or any other mathematical model — in a way that would effectively run the U.S. economy on autopilot.

"I do not subscribe to any rigid or mechanical role in policymaking," he said.

He sparred with Sen. Paul Sarbanes, D-Md., who used charts to show how the European Union's central bank had adopted inflation targets and now suffers slow growth and high unemployment. Bernanke shot back that European tax and labor laws are to blame, not inflation targets.