Greenspan warns of possible ‘painful adjustments’ for the global economy

[Thom Little]

Federal Reserve Chairman Alan Greenspan expressed concerns today that a failure to deal with exploding budget deficits in the United States and efforts to erect trade barriers could disrupt the global economy. Speaking at an economic conference in London, Greenspan said so far the United States has had no problem financing its current account trade deficit, which last year hit a record $668 billion, because of the flexibility of the American economy. But he said such flexibility would be threatened by rising protectionism, which would increase barriers to the flow of goods and investments across the U.S. border. He also worried about the harm that could be done if the United States and other nations do not get their budget deficits under control. “If … the pernicious drift toward fiscal instability in the United States and elsewhere is not arrested and is compounded by a protectionist reversal of globalization, the adjustment process could be quite painful for the world economy,” Greenspan said in his prepared remarks, which were released in Washington.


http://www.kentucky.com/mld/kentucky/13312078.htm

[aquart]

1. NOW he's worried? But the taxcuts were just dandy.

Criminally incompetent senile jackass.

[gordianot]

2. A little late isn't it? Guess this is a parting shot.

No one would think Greenspan at any time condoned running up massive debts.

[madmark]

3. You let the horse out of the barn four years ago you ahole

[VegasWolf]

4. No shit Greenie! 1.6 Trillion dollars debt increase every 18 months.

Say dollar turns into pesos just in time for baby boomer retirement.

[fasttense]

5. What a frickin idiot.

Yeah the potato famine was just a "Painful adjustment" to free trade. The Great Depression was just another painful adjustment when the supper rich destroyed the middle class. The only reason the American economy is so "flexible" is because of the large middle class developed by the Clinton era. Once corporations, CEOs, the haves and have mores are done eating the middle class we will look just like another third world country.

[HughBeaumont]

6. Put this Reaganite fossil out to pasture.

Pro-unbridled-corporatist pro-rich-tax-cut, pro-offshoring bastard. Listening to him speak is worse than hearing a dumpster unload and has about the same context.

[depakid]

11. Clinton rehired him in 1992

and his so called "free trade" policies are pretty much the same as those Clinton and the "new Dems" promoted.

[fasttense]

22. True Clinton did rehire him but

Clinton left a surplus and grew the middle class. So Greenpan's "free trade" excuse for stealing was of little importance. Now with a bunch of idiots in the WH, this "free trade" crap has gotten out of hand. Don't get me wrong, Clinton should never have signed NAFTA but since the middle class was growing and the poor were shrinking, no one seemed to care. My theory is everything in moderation even "free trade". Taken to extremes, any philosophy (and that is what "free trade" really is an unproven philosophy) is dangerous.

[librechik]

7. wait, didn't he say deficits were just fine?

bastard--those are your buddies you gave the green light too, ahole.

[VegasWolf]

12. He did! Greenie turned into just another whore and sold innocent

Americans down the polluted Capitalism River.

[enid602]

8. Greenspan

Sounds to me like he's saying that if we restrict international flow of goods, we might not be able to meet interest obligations on our external debt. In other words, we must continue to import horrendous quantities so we'll have enough money to meet obligations? This makes no sense. I would think we would have been wise to limit our imports (or encourage our exports) sooner, as our trade deficit has made for our external debt.

[bahrbearian]

9. Did he make this statement as he walked backwards out of the Room?

"See ya fellas, wouldn't what to be ya"

[CountAllVotes]

10. that's right ... MORE tax breaks for THE RICH

Expand those tax breaks right Greenie? :sarcasm:

How is it that they help again.

Oh yeah that's right - the rich - they have money and they spend more money on high ticket items I was told and therefore, they are stimulating the economy being they are rich. If they don't have the tax breaks, they won't spend.

My own thoughts re: the above statement is this: If this is the case for tax breaks for the rich, then why is it that every rich bastid I know is one tight ass bastid too. The rich don't "spend" - the only reap the benefits of these tax cuts for themselves and no one else.

Fuck the poor is their mantra!!!! :puke:

[sendero]

13. The sad thing is..

... Bernanke doesn't look like he'll be any better :(

[VegasWolf]

14. Heckuva job Greenie!!! nt

:sarcasm:

[AX10]

15. Thankfully, he'll be gone in less than 2 months.

[Megahurtz]

16. Oh Shuttup Greenspan! n/t

[orwell]

17. Translation...

...I have presided over, nay fueled, the greatest debt, stock market, and real estate bubbles in the nation's history while kneeling before the altar of fiat money creation, all the while serving my Ayn Rand political philosophy and my well-heeled central bank crony capitalists. When it all comes crashing down, as it has in every other instance throughout recorded history, I will still be hailed a great economic genius while my erstwhile predecesor suffers the scorn of the spoiled American people.

In other words, blow me.

[truthisfreedom]

18. pernicious twist

he'll be dead, we'll be here. alive dead!

[Jose Diablo]

19. Somebody should pound the crap out of that pencil neck

This guy is gonna skate away leaving the mess he made for someone else to clean-up.

These fuckin' republicans. Every time they get in power, they steal the accumulated wealth the people have built-up. Then they politicize the issue to make it seem like a socialism vs capitalism issue, rather that just an issue of them stealing what they have not created.

Greenspin is just the latest financial 'expert' poster-boy the have-mores use to steal the wealth. Bastards.

[SoCalDem]

20. Our "economic horizons are brighter than they're been in a loong time"

so sayeth *²

sure they are... In everyday family terms:

The credits cards are maxxed out, Mom's at Walmart loading up on plastic shit from China, Dad's $25 hr job got axed, but he's got work again from all those "new jobs" created.. he's got THREE $7 hr jobs now..:) Del Taco..Arco Snack Shop..security guard at the mall..

Coombined with Mom's TWO jobs, they may be able to keep paying the mortgage and car payments, but the kids won;t be seeing much of them

[Yo_Mama_Been_Loggin]

21. Fuck that asshole

Did he think about that when he told CONgress we needed a taxcut for the well to do?