Greenspan, Bush to blame for U.S. crisis: Stiglitz

[Joanne98]

Source: Reuters

VIENNA (Reuters) - Former Federal Reserve Chairman Alan Greenspan and the government of President George W. Bush were to blame for the U.S. financial crisis, Nobel laureate economist Joseph Stiglitz said in a magazine interview.

"This man (Greenspan) has unfortunately made a lot of mistakes," said former World Bank chief economist Stiglitz, according to a preview of the interview to be published on Monday in profil magazine.

"His first one was to support all the tax cuts which were introduced under Bush -- they didn't stimulate the economy very much ... This task was then transferred more towards monetary policy, though then (Greenspan) created a flood of credits with low interest rates," Stiglitz was quoted as saying.

Earlier in April, Greenspan said in an interview with CNBC television that the U.S. economy was in recession and defended his chairmanship of the U.S. central bank against charges that his policy missteps had laid the groundwork for the crisis.

He said decisions during his charge had been rationally constructed based on evidence at the time.

Stiglitz said Bush's government was also to blame.

"I reproach them, that the economy was not as resilient as it could have been due to the ongoing tax cuts and the huge costs incurred by the war in Iraq," he was quoted as saying.



Read more: http://www.reuters.com/article/topNews/idUSL2719096320080427

[Bozita]

1. Stiglitz co-authored "The Three Trillion Dollar War" -- been out for about a month

Check out the reviews at Amazon ...

http://www.amazon.com/Three-Trillion-Dollar-War-Conflict/dp/0393067017/ref=pd_bbs_sr_1?ie=UTF8&s=books&qid=1209333458&sr=1-1

[ShockediSay]

2. Tax cuts for the Richy Rich and a stupid war on borrowed money

what's there to argue about

[Sam Ervin jret]

3. Do you really need to be a Nobel laureate economist to know spending a trillion dollars you don't

have on a war, based on lies while giving tax breaks to the rich is not good for the economy?

You know I used to be impressed and a little intimidated by economics as I studied in college.

But really? Are these guys kidding? We'd be better of using tarot cards than listening to these bright bulbs.

[unblock]

5. you don't need a nobel laureate to KNOW this, but who's going to listen to you or me?

[hobbit709]

13. All economic stimuli are based on positive feedback for control

Ask any engineer what happens when you only use positive feedback to control something.

[trthnd4jstc]

4. Bush and Greenspan, and the A$$Hole Republicans

Tax and Deficit Spenders. Republicans are Liers.

[Roland99]

6. Earth's rotation to blame for sunsets; Cold temps blamed for frost on cars

Film at 11.

[nichomachus]

7. Knock me over with a feather

You mean their "borrow all you want, we'll print more" philosophy isn't good? Damn. Who could have guessed that?

[bluesmail]

8. not many people are going to be reading this

not many thinking people, that is.

[MannyGoldstein]

9. Stiglitz Endorses Obama's Economic Plan [nt]

[mcollier]

10. Wow... Now Greenspan jumps on the Bush Bashin' Wagon

Better late than never... as they say. Although how convienent Mr. Greenspan...

[Yavin4]

11. Tax Cuts on the Wealthy Were Never Ever About Economic Stimulation

The true purpose of tax cuts is to keep the govt in debt so that new social programs cannot be funded.

[razors edge]

12. Bullshit!

The fed owns this as much as they own the great depression.

Too late to blame the idiot in the big house, he made it clear from the start he listens to others to determine the best course of action.

The fed is printing money like no tomorrow, and the congress has the power to control that, not dim son.

[Jacobin]

14. Ahem

Alan Greenspan was the Chairman of the Federal Reserve, often referred to as "the Fed"

[madamesilverspurs]

15. Before he chaired the Fed,

wasn't it Greenspan who tried to get Keating's savings and loan business exempted from certain regulations?

[liberal N proud]

16. Trickle down economics collapsed

[whistle]

17. So Greenspan never wanted the war? Then why did he keep his mouth shut so long?

[bonito]

18. Tax cuts stimulate jobs!

Elsewhere, bottom line there.

[cliss]

19. I'm glad the Old Boy lived long enough

to see the end results of his policies.

I've read some of the Alibis Alan Pondscum has given, and they are many. Old Fool.

[crimsonblue]

20. Wrong on all accounts..

It was obviously the evil liberals fault, because they did some evil wiccan magic (no offense to those that practice the religion) and wished the economy into disaster. Yeah, that's it.......sigh.