Quote:
Originally posted by SlaveNoMore
He said the same thing in speech to the CMSA back in NY in July. 3 weeks later, the credit markets crashed.
Better question to me, was, if you need cheap credit would lead to this debacle, why did the Fed on your watch keep the rate ar such record lows?
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The pragmatic reality is that we are in a bubble economy. Greenspan knows this, as he admitted in his Journal oped when he said middle class wages in this country have for three decades been "flattening" and will not un-flatten until foreign labor costs creep to meet ours in, say, 2070. The middle and upper middle class is the survivor class. Take away their solid job base and they start finding things to sell and creating all sorts of markets aided by Wall St, of course.
We're going to keep having these silly bubbles, and we're going to see stranger and stranger lending vehicles appearing.
