Credit-default swaps, I think, have serious problems associated with them.
ALAN GREENSPANIf you think you understand what I am saying you do not understand what I am saying.
More Alan Greenspan Quotes
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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.
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Any informed borrower is simply less vulnerable to fraud and abuse.
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I was raising the question on the side with Governor Mullins of what would happen if the Treasury sold a little gold in this market.
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I don’t know where the stock market is going, but I will say this, that if it continues higher, this will do more to stimulate the economy than anything we’ve been talking about today or anything anybody else was talking about.
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If one grasps this, one has no difficulty in understanding the statists’ antagonism toward the gold standard.
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It is this superlatively moral system that the welfare statists propose to improve upon by means of preventative law, snooping bureaucrats, and the chronic goad of fear.
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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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How do we know when irrational exuberance has unduly escalated asset values?
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The tub helps me relax, and it’s a great place to read.
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The increased flexibility of our economy, which has fostered our extraordinary resilience to shocks.
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We need, in effect, to make the phantom ‘lock-boxes’ around the trust fund real.
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Fiat money in extremis is accepted by nobody. Gold is always accepted.
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They then need to reach a judgment about the probabilities, costs, and benefits of the various possible outcomes under alternative choices for policy.
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Regulators have not been able to achieve the level of future clarity required to act pre-emptively.
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It keeps interest rates lower than they otherwise would be and frees savings to finance increases in the capital stock, thereby boosting productivity and real incomes.
ALAN GREENSPAN