I believe that the general growth in large [financial] institutions have occurred in the context of an underlying structure of markets in which many of the larger risks are dramatically — I should say, fully — hedged.
ALAN GREENSPANPeople dont realize that we cannot forecast the future. What we can do is have probabilities of what causes what, but thats as far as we go. And Ive had a very successful career as a forecaster, starting in 1948 forward.
More Alan Greenspan Quotes
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In general, corruption tends to exist whenever governments have favors to extend, or something to sell.
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What an ideology is is a conceptual framework with the way people deal with reality.
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Given our inevitably incomplete knowledge about key structural aspects of our ever-changing economy and the sometimes asymmetric costs or benefits of particular outcomes, a central bank.
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I was a fairly good amateur musician, and I was an average professional. But the one thing I saw was that the big band business was fading.
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Political decisions are never random and will always lose out to innovative alternatives.
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I guess I should warn you, if I turn out to be particularly clear, you’ve probably misunderstood what I’ve said.
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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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Market financed withdrawals of home equity in recent years.
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We need, in effect, to make the phantom ‘lock-boxes’ around the trust fund real.
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I love facts and figures. It’s like following a detective story, piecing together what’s going on in the economy.
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History demonstrates that participants in financial markets are susceptible to waves of optimism.
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Capitalism is based on self-interest and self-esteem; it holds integrity and trustworthiness as cardinal virtues and makes them pay off in the marketplace, thus demanding that men survive by means of virtue, not vices.
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Enhances a person’s ability to handle the more ambiguous and qualitative relationships that dominate our day-to-day financial decision-making
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The free lunch has still to be invented.
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We may be in a rapidly evolving international financial system with all the bells and whistles of the so-called new economy. But the old-economy rules of prudence are as formidable as ever. We violate them at our own peril.
ALAN GREENSPAN