Only a person without an even remote understanding of macroeconomics could make such a moronic assertion regarding Greenspan's intelligence, whether you approve of his leadership at the Fed or not. Any person who has studied economics and then watched a single Humphrey-Hawkins testimony, cannot help but be impressed with the depth of Greenspan's understanding of the intricacies of the US economy.
. Trade-ya1: Greenspan is the best Fed Chairman that ever lived and that will ever live. You guys don't know the history. ********* SouthAmerica: I donât agree with you. In my opinion, Paul Volcker was the best Fed Chairman of the last 4 decades. I have no doubt that in the long run history will rank the âlegendary Fed Chairmanâ Paul Volcker many notches above Alan Greenspan. .
Ever heard of "irrational exuberance?" It's similar to what you're demonstrating in your post. At least, the "irrational" part.
Saying "irrational exuberance" is not the same as calling it a bubble , specially now when he admitted he KNEW it was a bubble. He has let these BOOM & BUST markets balloon and pop right under his eyes. Housing Bubble is next. You are the irrational one, if you belive any of the lines of shit from a government that screws it's own people. I suggest you go watch CNN, as to you they are probably "rational".
Sure he's put a lot of money in many pockets. And these people rightly reckon he's done a good job. But suppose things don't go well over the next several years and money is taken out of those pockets. Well, in that case I'd bet the same people lauding him now will look for a scape goat and the god will become the devil......... You see it doesn't take much for perception to swing 180, especially when $$ is involved.
oy. didn't realize it was Mr. Greenspan's job to tell lenders what sorts of loans to make or borrowers when they're doing something stupid. But, hey, what do I know
Really? Greenspan appears to be rather incompetent in his ability to do the job properly in that he appears to always overreact causing wide swings in the economy or particular sector he is attacking. Given that his job is not easy, but the irrational exuberance and housing bubble remarks are rather exaggerated and only prove to be self fulfilling especially when the Fed policy seems to be one one over reaction to current conditions far beyond what is necessary. In the Feds' failure to influence the US to deal with the government deficit, they have actually favored inflation and the expansion of the money supply and credit at an exponential rate. While merely giving lip service to controlling inflation. If there is an irrational exuberance or bubble, it is the eargerness to expand the money supply at the expense of devaluation of the dollar and the erosion of wealth in monetary fixed asset instruments. http://research.stlouisfed.org/fred2/series/M3NS/28/Max