Architect of Coming Depression, Greenspan endorses McCain, avoids blame for economic mess

[El Pinko]

http://www.bloomberg.com/apps/news?pid=20601087&sid=aI_HoK4yXcYc&refer=home


Greenspan Says U.S. Economy Is on Edge of a Recession
By Vivien Lou Chen


Feb. 15 (Bloomberg) -- Former Federal Reserve Chairman Alan Greenspan said the U.S. economy is on the verge of its first recession in six years as falling home values hurt consumer spending.

``We are clearly on the edge,'' Greenspan told a group of energy-industry executives yesterday at the Cambridge Energy Research Associates' 27th annual CERAWeek conference in Houston. He reiterated comments from last month that the odds of an economic contraction are ``50 percent or better.''

....

``Home prices will continue to weaken,'' the 81-year-old former Fed chief said. ``When a bubble breaks, you go to primordial fear.''

Separately, the former chairman, a Republican, gave a nod toward Republican presidential candidate John McCain, comparing him with ex-President Ronald Reagan. He made the remarks after his predecessor at the Fed's helm, Paul Volcker, last month endorsed Democratic candidate Barack Obama, the Illinois senator.

``John McCain has the same roots as Reagan, being a Goldwater Republican,'' Greenspan said. McCain, like the late Barry Goldwater, is a senator from Arizona. McCain ``is a conservative and has many of the same characteristics that Reagan did.''





http://news.yahoo.com/s/ap/20080215/ap_on_bi_ge/energy_summit_greenspan


In a speech a few weeks ago in Canada, Greenspan also said the odds of a U.S. recession were 50 percent or "slightly more."

On that occasion, he said subprime mortgages were "a valuable product" that helped increase home ownership in the U.S., especially among minorities.

....

Critics have complained Greenspan failed to act in his role as a regulator during the subsequent housing boom in the U.S., as easy credit spurred subprime home loans.

The former Fed chairman, who served in the role for 19 years — from 1987 to 2006 — has acknowledged he failed to see early on the potential danger of the increase in mortgages to people with questionable credit histories.

[NC_Nurse]

1. He is such an ass.

Political hack. Trickle-down bulllshit supporter. :puke:

Thanks a lot for f*cking things up and now capitalizing on it. Jerk.