The current financial crisis in the US is likely to be judged in retrospect as the most wrenching since the end of the Second World War.
ALAN GREENSPANMarket financed withdrawals of home equity in recent years.
More Alan Greenspan Quotes
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Those of us who have looked to the self-interest of lending institutions to protect shareholders’ equity are in a state of shocked disbelief.
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As long as we issue fiat currency, I see no alternative to a legal tender law.
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There is no evidence that the business cycle has been repealed.
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I’m a plain soap kind of guy.
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Credit-default swaps, I think, have serious problems associated with them.
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Derivatives have permitted the unbundling of financial risks.
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And the percentage changes in wage rates would be the same for all job grades.
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In the process we have created [a] privileged elite whose incomes are being supported at non-competitively high levels by immigration quotas on skilled professionals.
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It’s not for anything other than an escape from what is perceived to be a fiat money system, paper money, that seems to be deteriorating.
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I’ve been in and out of Wall Street since 1949, and I’ve never seen the type of animosity between government and Wall Street. And I’m not sure where it comes from, but I suspect it’s got to do with a general schism in this society which is really becoming ever more destructive.
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The use of a growing array of derivatives and the related application of more-sophisticated approaches to measuring and managing risk are key factors underpinning the greater resilience of our largest financial institutions…
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In an economy that already has lost some momentum, one must remain alert to the possibility that greater caution and weakening asset values in financial markets could signal or precipitate an excessive softening in household and business spending.
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If prices go down, we will have problems – problems in the sense of spillover to other areas.
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Fiat money in extremis is accepted by nobody. Gold is always accepted.
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I’m a better economist than I was a sax player.
ALAN GREENSPAN






