Kevin_Kennedy
Defend Liberty
- Aug 27, 2008
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- #61
You mean the guy in charge was a 'free market' type guy and 'believed' the markets would self regulate?
The former Federal Reserve chairman, Alan Greenspan, has conceded that the global financial crisis has exposed a "mistake" in the free market ideology which guided his 18-year stewardship of US monetary policy.
...."I made a mistake in presuming that the self-interests of organisations, specifically banks and others, were such that they were best capable of protecting their own shareholders and their equity in the firms," said Greenspan.
Greenspan - I was wrong about the economy. Sort of | Business | The Guardian
Regulators and policymakers enabled this process at virtually every turn. Part of the reason they failed to understand the housing bubble was willful ignorance: they bought into the argument that the market would equilibrate itself. In particular, financial actors and regulatory officials both believed that secondary and tertiary markets could effectively control risk through pricing.
http://www.tobinproject.org/sites/tobinproject.org/files/assets/Fligstein_Catalyst of Disaster_0.pdf
Yes, the great "free market" guy Alan Greenspan. Tell me, where did the great free market thinkers state that the economy should be centrally planned by a single organization forcefully and artificially keeping interest rates low and flooding the market with cheap credit? Greenspan was a Randian, right? So find for us where Ayn Rand ever advocated such policies, which it is a historical fact that Greenspan enacted as chief central-planner of the Fed, in her writings. Quote von Mises stating that artificially cheap credit is in line with a free market. I doubt even Milton Friedman, no enemy of the Fed in general, would have supported the reckless policies of Greenspan and Bernanke. So please, find for us where central economic planning, which is what Greenspan did at the Federal Reserve, has anything to do with free markets.
Yes, Greenspan was once a supporter of a free markets, but had long abandoned those views by the time he became the chief central economic planner in the world, and as a staunch supporter of economic interventionism had no problem joining the herds maligning "free markets" after the bubble popped because to do otherwise would be to admit that his current worldview, of central economic planning, is wrong.
Got it, you 'believe in' the mythical 'free market' that Ayn Rand 'believed in', guess that's why she wrote fiction
Weird the cosest the US has come to laizze affaire garbage was the 1929 GOP depression and Dubya's subprime crash
WORLD WIDE CREDIT BUBBLE AND BUST? Greenspan? lol
The boom and bust was global. Proponents of the Big Lie ignore the worldwide nature of the housing boom and bust.
A McKinsey Global Institute report noted from 2000 through 2007, a remarkable run-up in global home prices occurred. It is highly unlikely that a simultaneous boom and bust everywhere else in the world was caused by one set of factors (ultra-low rates, securitized AAA-rated subprime, derivatives) but had a different set of causes in the United States. Indeed, this might be the biggest obstacle to pushing the false narrative.
Examining the big lie: How the facts of the economic crisis stack up | The Big Picture
Conservative Ideas Can't Escape Blame for the Financial Crisis
The onset of the recent financial crisis in late 2007 created an intellectual crisis for conservatives, who had been touting for decades the benefits of a hands-off approach to financial market regulation. As the crisis quickly spiraled out of control, it quickly became apparent that the massive credit bubble of the mid-2000s, followed by the inevitable bust that culminated with the financial markets freeze in the fall of 2008, occurred predominantly among those parts of the financial system that were least regulated, or where regulations existed but were largely unenforced.
Politics Most Blatant | Center for American Progress
So you can't answer even the most basic of questions. It doesn't matter what I believe or whether it's a fairy tale. What matters is what it is, and you can't answer how Greenspan's actions as Federal Reserve Chairman match up with free market beliefs as they were espoused by any of the defenders of the free market.
That just makes you a troll.