Alan Greenspan is obtuse no longer.The former Federal Reserve Chairman, whose incomprehensible musings were parsed by investors for years to find their hidden meanings, startled markets again by telling an audience willing to pay his hefty speaking fee that the economy is "clearly on the edge of a recession." His remarks underscore those of his successor Ben Bernanke, who has argued the economy is slowing because of the meltdown in the subprime mortgage market.
From the Associated Press:
"If it weren't for the fact that business was in such extraordinary good shape before this problem hit, I don't think we'd be questioning at this stage whether we're in a recession," Greenspan said during a question-and-answer session with Daniel Yergin, chairman of Cambridge Energy Research Associates, the Massachusetts-based consultancy that sponsored the dinner.But we're awfully close, no?
"We'd be talking about how long and how deep," he said. "And we're not there yet."
Freelance writer Jonathan Berr edits the blog Ketchup and Eggs.
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Reader Comments (Page 1 of 1)
2-15-2008 @ 12:20PM
Sheldon L said...
We have been on the edge of a recession since last August and we will be there for another 18 months...but will we cross over to the dark side?
2-15-2008 @ 1:39PM
nomorechimp08 said...
ON THE VERGE OF A RECESSION? I GOT NEWS FOR GREENIE, WE ALREADY HAVE A RECESSION AND ON THE VERGE OF A DEPRESSION. APPARENTLY HE DIDN'T GO INTO RETIREMENT, HE WENT INTO HYBERNATION. WHO HAD TO GO WAKE HIM UP?
2-15-2008 @ 2:00PM
Marcy said...
You know, with the deficit the way it is and housing in New York being through the roof and having trouble in Florida, this country is going to hell in a handbag and with tax cuts and no rationing in times of war, we are in deep doo doo. I don't understand why its taken these guys, like Alan Greenspan who helped Clinton bring us back from the brink of recession after Daddy Bush, couldn't see that tax cuts are just Bush's way of coddling his corporate lobbyists. The rest of us starve and the corporate CEO's make more than anyone should legally or morally make while people are on the streets. So Mr. Greenspan, open up your tired eyes and see things as they are, from the streets. Marcy