He missed 1929? "The behavior in what we are observing in the last seven weeks is identical in many respects to what we saw in 1998, what we saw in the stock-market crash of 1987, I suspect what we saw in the land-boom collapse of 1837 and certainly the bank panic of 3/8 1907," Greenspan said at the event organized by the Brookings Papers on Economic Activity, according to the Journal. http://ap.google.com/article/ALeqM5ix6CrCVNVHBA4QLb1hzKDMRn7HHA
i agree with him 120%...as i`ve been saying for the last month or so....it`s funny that here he is giving fair warning of what he sees unfolding but the media/investors do not like the negative outlook because it`s bad for business....if anything he should be commended for doing what he`s doing by giving an objective outlook.....something very rare in this game of lies & hype.
I dont think all of Al's bricks are on the truck.... he created all this, and Ben must be thinking, Hey Al, you want this f'g job back"?
Al's track record on this kind of thing is not exactly stellar. After all, the roots of this credit fiasco can be traced all the way back to the meltdown of LTCM in 1998. Once again we have hedge funds putting on large and complex derivatives positions that are impossible to unwind and impossible to accurately value. They are also putting on these positions in incredible size. Something was bound to give. If Al had laid down some firm ground rules after the LTCM crisis, maybe this current mess could have been avoided. Instead, the message that came out of LTCM was that if you become big enough, you won't be allowed to fail. That's a very dangerous lesson, and one that we can lay squarely on Al's doorstep....