Greenspan doesn't need apologists. He worked for the Fed whose main job is to provide profits for banks so that Fed doesn't have to bail them out. He was one of the most powerful people in the world and what did the bubbleman have to say in Feb 2004? "American consumers might benefit if lenders provided greater mortgage product alternatives to the traditional fixed-rate mortgage. To the degree that households are driven by fears of payment shocks but are willing to manage their own interest rate risks, the traditional fixed-rate mortgage may be an expensive method of financing a home.
American homeowners clearly like the certainty of fixed mortgage payments. This preference is in striking contrast to the situation in some other countries, where adjustable-rate mortgages are far more common and where efforts to introduce American-type fixed-rate mortgages generally have not been successful. Fixed-rate mortgages seem unduly expensive to households in other countries. One possible reason is that these mortgages effectively charge homeowners high fees for protection against rising interest rates and for the right to refinance.”
Some of his apologists claim that his statements were miscontrued. What a crock. He basically called you a moron if you went for a fixed rate loan. Even financial luddites like Suzy Orman said he was so wrong in April 2004, along with dozens of other finance journalists. So everyone misread his comments,and what did the most powerful person in the world do? He deliberately ignored the controversy and none of our DAMN media or politicians confronted him. They should be sent to Gitmo with him.
Someone please find Greenspan singing a song just like I posted Gonzales singing. Lets start the song-writing.
They call me the Maestro,
but I just wish I had half an Afro,
they said I could stop all the troubles,
but you all know that I caused all the bubbles …
