Greenspan is no fool. He knows that there will be “collateral damages” to the economy from the housing downturn. A few years ago, Greenspan was on the record cheering the housing bubble. If the economy is hit hard, he’ll be blamed.
He’s trying to associate any possible recession with the “end of the business cycle”. Now, to be fair, the business cycle does play a factor. IMO, it’s a small factor. The bursting of the credit bubble (that manifests itself as a housing bubble) is the big factor.
