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.
ALAN GREENSPANI 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.
More Alan Greenspan Quotes
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We are in the midst of a once-in-a-century credit tsunami. Central banks and governments are being required to take unprecedented measures.
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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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I don’t think it’s possible for the Fed to end its easy-money policies in a trouble-free manner.
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[Republicans] swapped principle for power. They ended up with neither. They deserved to lose.
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By far the most significant event in finance during the past decade has been the extraordinary development and expansion of financial derivatives.
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What an ideology is is a conceptual framework with the way people deal with reality.
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If you get beyond the political rhetoric [and assembled a group to solve Social Security] it would take them 15 minutes. It would take them 15 minutes only because 10 minutes was used for pleasantries.
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Greenspan, who knew so much more than most, knew far less than most supposed.
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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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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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If I say something which you understand fully in this regard, I probably made a mistake.
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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.
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If you think you understand what I am saying you do not understand what I am saying.
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If we allow terrorism to undermine our freedom of action, we could reverse at least part of the palpable gains achieved by postwar globalization. It is incumbent upon us not to allow that to happen.
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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
ALAN GREENSPAN






