Alan Greenspan: “Shocked Over Credit Tsunami” Oct. 23
Reuters
Oct 23, 2008
WASHINGTON (Reuters) - Former Federal Reserve Chairman Alan Greenspan told Congress on Thursday he is “shocked” at the breakdown in U.S. credit markets and said he was “partially” wrong to resist regulation of some securities.
Despite concerns he had in 2005 that risks were being underestimated by investors, “this crisis, however, has turned out to be much broader than anything I could have imagined,” Greenspan said in remarks prepared for delivery to the House of Representatives Committee on Oversight and Government Reform.
“Those of us who have looked to the self-interest of lending institutions to protect shareholder’s equity — myself especially — are in a state of shocked disbelief,” said Greenspan, who stepped down from the Fed in 2006.
With a general election looming November 4, U.S. lawmakers were sharply divided along political lines in either blaming regulators or bickering for failure to prevent the crisis that has gripped financial markets around the world.
Source:
http://www.reuters.com/article/GCA-CreditCrisis/idUSTRE49M58W20081023
Duration : 0:1:33
Comments
Apart from that, …
Apart from that, the bailout money is not ‘the rich’s money’. And it is not really the bailouy money that is the real problem, the real problem is the trillions of fiat dollars that has been printed and are now circulating the globe because there is no limit to The Fed’s printing power. Hopefully Ron Paul’s bill HR 1207 will put an end to it.
Some might argue …
Some might argue that the poor is merely a shadow of who they would have been, where they born in another environment. You see, we are all subject to our environment, even you, as you so clearly demonstrate with your comments.
I don’t care let …
I don’t care let them take everything and do whatever they want because they are obviously smarter then us. There are billions of us and there only a few of them but yet can do this to us. If it is survival of the fittest, they have proven that they’re the fittest and they should survive and we should be parished forever.
Oh please give me a …
Oh please give me a break, ” the rich use the poor as an experiment”. How so? How the poor spend beyond their means and the government bails them out with the rich’s money. The poor has contributed absolutely nothing to this society.
What deception?
What deception?
search the OBAMA …
search the OBAMA DECEPTION
stop the new world order!!!
Why do you think …
Why do you think the USA has been gradually turned into a mass of competitive individuals? From the Highlander’s, “There can be only one!”, to the last episode of Survivor, infotainment propaganda has been giving the same message for fifty years now.
“I’m alright, screw everyone else.” Mobs are easy to dispose of, it is organized groups that represent a true threat to the “Powers that Be.” Americans have been fed competitive individualism so long they no longer know how to cooperate.
Its all part of the …
Its all part of the big agenda that those running the kingdom of the USA want to happen. They are going after 1 world government with 1 world banking. People have been talking about this for 2 years.
The deceptive way they pulled it off, makes me not trust them at all now. This can’t be good for us.
They have us so divided by religeon, races, groups, moral views, republican, democrat, etc… not sure we can come together to even try to sort it all out and fix it.
1. Regulating …
1. Regulating interest rate is a socialism
2. Gold standard is proven to be a failure, it was abandoned by many nations.
Free-market + socialism, aka mix economy, is the correct way.
Get ready for …
Get ready for Hyperstagflation in 2009 & 2010.
When M3 (aggregate money supply) does not match economic growth you get Inflation. The US Fed stopped posting M3 growth rates in March of 2006. Now with our 700B welfare, 12B monthly Iraq bill, and now the Fed drops the sub prime from 1.5 to 1 and may go lower. Every taxpayer in America will suffer from hyperinflation during a depression. This might become a Civil War in two years. We are a Tertiary economy with no strong manufacturing jobs.
This drinking …
This drinking swine Greenspan is part of the problem
Any half decent …
Any half decent economist knew this guy was a clown. It is laughable how the morons in Congress used to interpret that muddled double-talk of his as a sign of brilliance. Just look at the comparison to Bernanke, who makes his points so clearly, and is so thoughtful. Fortunately for Ben, history will be kind on him for taking on Al’s mess.
Rot in douche …
Rot in douche bag. We will be paying for your mistakes for years to come. I can only hope that you survive long enough to see the suffering you have visited upon this world.
Greenspan was …
Greenspan was absolutely for the free market and had nothing to do with socialism. What people don´t understand is that regulations from the govt. is a necessity and only stupid people believe that the free market that can regulate itself. History has shown it´s impæosible. Besides, interest policies, fiat money that´s not backed up by gold and the stock market are the real problem. Capitalism is a crisis economy and nothing but a experiment.. the rich use the poor as an experiment
Greenspan is for …
Greenspan is for free-market. Yet he doesn’t follow Milton Friedman’s constant 3% interest rate policy. He chose to interfere with the interest rate. That is a socialist central planning. I have only pity for him. He destroyed the economy in the name of “free market” yet he was practicing socialism. He was playing God when he is not. Now, he must be crying in the mighty invisible hands of his God and repenting on what he had done.
So he say’s he knew …
So he say’s he knew in 2005 what was on its way. Would you trust anyone from his background in the future? We have now given the banks not only our deposits ( that was not enough ) they now have our Tax money, so the money men now move to nations that they leant money to to bring down whole nations with demands for repayment.
We need to cut the rotten core out of the system and that is the bankers and brokers who created this, shut the markets and regulate on max/ min volumes.
can you say …
can you say creative destruction , FRAUD ? !
Continually …
Continually lowering the interest rates, when the indicators were telling Greenspan that the economy was cooling down, was not a coherent thing to do. In 2002, while I worked in finance, delinquent car loans were starting to come in which indicated to us that something was happening with the economy. People were already losing jobs due to outsourcing and nafta. Where was Greenspan? He was trying to make Bush look good. Yes, I realize it was Clinton who brought in nafta.
Start w/ this …
Start w/ this article “Greenspan is Gone; Don’t Bet on Bernanke” dated 11/08/05 by Hayley Block. Next look at Town & Country Credit (if you can find anything- I think they went under). From there google “Countrywide Sucks” & read the submitted stories. Investigate Nat. Citys desire to push 2nds til they were bought out just this past Friday. Investigate why Nat City moved money from “division” to “Bank” to “subsidiary” etc
I’ve been in real …
I’ve been in real estate for 10 years- Greenspan did a good job. The economy started to go to sh- the second gas jumped, therefore COL AND interest rates by Bernenke. If you follow the sheeple who want to point the finger at Greenspan, I beg of you to take a step back and research every single aspect of the mortgage “crisis” for the last 10 years
The most depressing …
The most depressing part of this is they are all supposed to be the well educated ones in their field and still screwed it all up.
Leadership is way overrated and is just about non existent in today’s world.
Lack of …
Lack of neoliberalism is the problem! The US government is going in the wrong direction over the last 70 plus years and most people can’t make the connection this direction is socialism. It’s capitalism and free markets the US used in 232 years that changed the world in innovation and technology like no other in recorded history. Only free markets will fix this, not government.
we saw the history …
we saw the history in that speech. how could any of us imagine that, someday, greespan would come to public and say that his beliefs, and i include neoliberalism there, were wrong?! that’s incredible.
Greenspan is bad.
…
Greenspan is bad.
But congress man should be blamed most.
They are the lawmaker to stop bubble.
There’s a good …
There’s a good article on the Consumers Rights League website titled: ACORN’s Hypocritical House of Cards. The article covers the history and exams how one “community” group helped the housing crisis harm taxpayers.
Add A Comment