Comments on: Greenspan Defends Low Interest Rates

Former Federal Reserve Chairman Talks To Lesley Stahl About Subprime Mortgage Meltdown

[darvillis]

BTHRASHER102 Hey we get it OK how about an original thought ! Yes, Greenspan is to blame along with everyone who knew it was a bad Idea. Sure the people who got over their heads are responsable for their own situation but remember they just wanted a piece of the american dream.The lenders should have warned the not to savy and the Goverment should have stopped the crazy lending,but oh yea they all wanted to make money and clear out to wait for the next sucker scheme to come along. I am just sorry that so many people are so naive.There is no law against preying on the not to financially savey.

[standlee5]

I always thought Greenspan was too reactionary and should have let the markets play themselves out more often. But remember he had Y2K, dotcom and nasdaq bubble, 9/11, and Iraq war. It couldn''t have been easy. Still, we have a free market for a reason. Let it play out.

[boldwin223]

"You think Greenspan should have increased rates so that the economy would tank and we would have been in a recession for 4 years."

Posted by bthrasher102 at 03:41 PM : Sep 13, 2007

Yes. Maybe Bush would have stayed out of Iraq and I would be getting more than 1.5% on my savings. Why put money in savings when you can borrow at such low rates. The odds of a recession in the next year have risen from 25 to 50 percent. If you are smart you will get out of the stock market now.

[bthrasher102]

Let me see if I have this straight. You think Greenspan should have increased rates so that the economy would tank and we would have been in a recession for 4 years. Good call, you idiots should be in charge of the economy for sure. You can''t blame the guy running the economy for crooked lenders and greedy homeowners. Face it, half of these people who are crying about being foreclosed on knew good and well what they were getting into. They saw a chance to upgrade to a home beyond their means and ignored the risks. Anybody who has gone to college in the past 50 years has probably taken economics and should know that interest rates will rise. The other half (the lower middle class) were taken advantage of by lenders, but once again, most were probably ignoring the risks they knew were there.

[boldwin223]

"The budget should be balanced; the treasury should be refilled; public debt should be reduced; and the arrogance of public officials should be controlled." - Cicero. 106-43 B.C.

[bthrasher102]

Let me see if I have this straight. You think Greenspan should have increased rates so that the economy would tank and we would have been in a recession for 4 years. Good call, you idiots should be in charge of the economy for sure. You can''t blame the guy running the economy for crooked lenders and greedy homeowners. Face it, half of these people who are crying about being foreclosed on knew good and well what they were getting into. They saw a chance to upgrade to a home beyond their means and ignored the risks. Anybody who has gone to college in the past 50 years has probably taken economics and should know that interest rates will rise. The other half (the lower middle class) were taken advantage of by lenders, but once again, most were probably ignoring the risks they knew were there.

[boldwin223]

"he "didn''t really get it" that the sub-prime lending trend was significant enough to hurt the economy until very late 2005"

Ben Bernanke and the Fed are going to make the same mistake next week!!! If the Federal Reserve does not stop listing to Bush, the MBA, the U.S. is going to be in one hell of a recession. Oh thats right, it will be Bill Clinton''s fault.

[bthrasher102]

Let me see if I have this straight. You think Greenspan should have increased rates so that the economy would tank and we would have been in a recession for 4 years. Good call, you idiots should be in charge of the economy for sure. You can''t blame the guy running the economy for crooked lenders and greedy homeowners. Face it, half of these people who are crying about being foreclosed on knew good and well what they were getting into. They saw a chance to upgrade to a home beyond their means and ignored the risks. Anybody who has gone to college in the past 50 years has probably taken economics and should know that interest rates will rise. The other half (the lower middle class) were taken advantage of by lenders, but once again, most were probably ignoring the risks they knew were there.

[jjarden]

What a LIAR! Then he must be the stupidest Economist ever, and he shouldn''t have been in the job. Here we go again, one of the insiders causing havoc with people''s lives, and getting off scott free. When are we the people going to do something about these "Officials"...he should be tarred and feathered.

[feelfree1]

Re: "Greenspan Defends Low Interest Rates"

Alan Greedscam is as responsible as anyone else for the current collapse of the housing market, and the coming economic contraction.

[darvillis]

I don''t believe a word of this. I am no genius but yet I knew in late 2004 early 2005 what the impact would be on the economy. And for my next perdiction housing prices will drop dramatically and interest rates will rise. This will inspire a new group of folks to buy homes thus starting the cycle all over again.Anybody want to bet?

[drivelphobe]

Greenspan left the rate too low for too long. That''s obvious now even though most everyone said there was no housing bubble. Well, now the the price has to be paid by those who thought they could beat the system.

A fool and his money will soon be separated. Let the buyer beware. All words of wisdom. Just as the bubble in the stock market took care of the fools and crooks, so will the housing market. Let the prices fall, the foreclosures pile up, and financial instability hit the lenders and their customers. The proper balance will follow as the natural order resumes.

No bail outs. This is a great opportunity for the disciplined investors and people with money and prudent lifestyles.