Oh Greenspan, You Sneak!

Greenspan foresaw all of this years and years ago! He started preparing to leave his office in 2004 by raising the rate as fast as he could over his last two years… so that the next guy to come in would have enough slack to drop the rate when needed.

I think the problem though may be that Big Ben is blowing his wad a little too fast. Alan didn’t leave him THAT many karma points… he’s got two left now. When the bubble deflates some more, he’s going to have to blow it all again. I figure he’s got about six quarters left.

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2 Responses to Oh Greenspan, You Sneak!

  1. The problem here is that lowering rates is supposed to encourage spending, but everyone is leveraged to the hilt and can’t take on any more reckless spending.

    Americans need some sort of “value source” in order to keep spending. It used to be their houses, but that’s crashing hard and fast.

    After us, the Deluge
    Tom

    • mik3cap says:

      I’m not saying we’re not driving over the cliff anyway… I’m just saying Greenspan made everybody move to the back of the bus so they’ll fall off just a little bit later than they normally would have!