The US Treasury Crisis and Alan Greenspan
By makingpots
@makingpots (11915)
United States
4 responses
@sedel1027 (17846)
• Cupertino, California
25 Sep 08
If you really pull apart the problem, this issue starts year and years ago. Even though they want to blame current events, economic problems take years to full develop and come to a head. Greenspan was still running the show when all these folks were given the ARM loans. Didn't he lower he interest rates for that to happen? In my opinion, we would still have a problem, but it wouldn't be quite as bad as it is now.
2 people like this
@makingpots (11915)
• United States
25 Sep 08
He sure new what he was doing stimulating the economy with those rates. I think he would have monitored the ARM loan management with a finer tooth cone, knowing the risk they can be.
1 person likes this
@sedel1027 (17846)
• Cupertino, California
25 Sep 08
He hasn't been out of office that long though - will be 3 years at the end of January. That is awfully quick for anyone new to screw up so badly.
I know anyone can edit a Wiki page, but you should read what he did and how it could be causing the problems we have now:
http://en.wikipedia.org/wiki/Alan_Greenspan
@redkathy (3374)
• United States
25 Sep 08
Greenspan is good. The problem goes deeper than the ARMS. Remember the .com bubble.. the scams with CEOS like at Enron... It amounts to greed and not being regulated! I'm not one for the government saying what I should do with my life or it making laws to tell me how to raise my children. I don't believe the government is responsible for my failures or successes. I don't need them for that. However regulations on this type of crap would have been protecting the people of this country!
1 person likes this
@jillmalitz (5131)
• United States
26 Sep 08
Maybe, maybe not. The big problem right now is the fact that bad loans were given out to people and businesses who had no business getting them. When these people can not keep up, eveyone loses. Then again,if we all lived on borrowed money all the time we would all be in trouble.
@makingpots (11915)
• United States
26 Sep 08
Ah, you make a good point, jillmalitz. Debt can be a dangerous thing and must be managed closely.
@danishcanadian (28954)
• Canada
25 Sep 08
I don't really know what to say on this one, because I don't know that much about him. I have heard a few others that I know ask the same question. I know whenever there is a problem, one of the first things anyone asks is if there would still be a problem if things were as they were before.
@makingpots (11915)
• United States
25 Sep 08
You are right about that. I don't believe they should be as they were, the market is very current and 'here and now'. Greenspan might have kept his thumb on things a little better.
@jonesy123 (3948)
• United States
25 Sep 08
Greenspan got out when the signs were already visible. He got lucky that when he was in charge we had a thriving economy thanks to everybody wanting to have a PC, cellphone, Internet... then the bubble burst and while the sh$t didn't hit the fan quite yet, he knew what was coming. Everybody knew that real estate market bubble was about to burst, too. He left just in time, lol. He would have no idea how to avert this crisis we have right now. Measures should have been taken years ago but everybody just went about it happy go lucky, except for those who noticed the signs of the time and got out while they still could.
@makingpots (11915)
• United States
25 Sep 08
He is brilliant, I truly believe that. Perhaps he was fully aware that it was time to get out. You could be totally right on that one.
I just admired his understanding of the present economy based on past fluctualtions and future possibilities. I'm sure he is being consulted with through all this and probably has been all along, I just wish he had been more daily involved as we navigated this unfamiliar territory. I think we wouldn't be in such choppy waters at the moment.
