Comments on: Gold and Economic Freedom by Alan Greenspan

By: cdts

cdts — Sat, 15 Nov 2008 00:54:32 +0000

I found evidence that runs counter to the following claim made by Greenspan:

“Periodically, as a result of overly rapid credit expansion, banks became loaned up to the limit of
their gold reserves, interest rates rose sharply, new credit was cut off, and the economy went into a sharp, but short-lived recession.”

He said that recessions were short lived in the past. The following data from NBER says that the reverse actually occurred (recessions/depressions were longer):

http://www.nber.org/cycles.html

By: petebest

petebest — Sat, 15 Nov 2008 00:46:55 +0000

I guess Greenspan Shrugged…..lol.

Here’s anohter article about Greenspan and gold I came across years ago….great look at Greenspan and his “virtual gold standard”…..Interesting read.

http://www.goldworld.com/articles/gold-greenspan-fed/49

By: David Merkel

David Merkel — Fri, 14 Nov 2008 23:04:22 +0000

He was better when he was Goldspan — more principled. Ron Paul asked him about this article once, and he said that in an earlier era, he didn’t trust central banking, because it was less trustworthy then. Of course, this was written during Martin’s term, which was for the most part pretty good, and certainly didn’t throw liquidity at every problem.

So, I think Greenspan was blowing smoke at Ron Paul. He had principles, and sacrificed them to serve power in order to get power. Central banking under Martin was far less jumpy than the liquidity-driven Greenspan era.

By: benbrennan

benbrennan — Fri, 14 Nov 2008 21:09:41 +0000

Anyone find it funny that Alan Greenspan kinda wound up being the antithesis of John Galt? Galt would have rather died than be the economic dictator for the looters, Greenspan accepted it with open arms.

By: doug

doug — Fri, 14 Nov 2008 20:47:46 +0000

was this back in his hippie days?