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Greenspan Book Criticizes Bush And Republicans ("They Deserved to Lose")
Wall Street Journal ^ | 14 September 2007 | GREG IP and EMILY STEEL

Posted on 09/14/2007 4:32:26 PM PDT by shrinkermd

In a withering critique of his fellow Republicans, former Federal Reserve Chairman Alan Greenspan says in his memoir that the party to which he has belonged all his life deserved to lose power last year for forsaking its small-government principles.

In "The Age of Turbulence: Adventures in a New World," published by Penguin Press, Mr. Greenspan criticizes both congressional Republicans and President George W. Bush for abandoning fiscal discipline.

The book is scheduled for public release Monday. The Wall Street Journal bought a copy at a bookstore in the New York area.

Mr. Greenspan, who calls himself a "lifelong libertarian Republican," writes that he advised the White House to veto some bills to curb "out-of-control" spending while the Republicans controlled Congress. He says President Bush's failure to do so "was a major mistake." Republicans in Congress, he writes, "swapped principle for power. They ended up with neither. They deserved to lose."

Many economists say the Fed, by cutting short-term interest rates to 1% in mid-2003 and keeping them there for a year, helped foster a housing bubble that is now bursting. In his book, which was largely written before much of the recent turmoil in credit markets, Mr. Greenspan defends the policy. "We wanted to shut down the possibility of corrosive deflation," he writes. "We were willing to chance that by cutting rates we might foster a bubble, an inflationary boom of some sort, which we would subsequently have to address....It was a decision done right."

(Excerpt) Read more at online.wsj.com ...


TOPICS: Business/Economy; Extended News; Politics/Elections
KEYWORDS: ageofturbulence; blamegame; book; bookreview; fed; greenspan; memoir
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1 posted on 09/14/2007 4:32:28 PM PDT by shrinkermd
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To: shrinkermd

Guy’s right.


2 posted on 09/14/2007 4:33:06 PM PDT by Psycho_Bunny
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To: shrinkermd

Is Greenspan really Conservative? I know he’s married to that well known Conservative (NOT) Andrea Mitchell. If he is really Conservative, I guess he has a Matalin-Carville type union!


3 posted on 09/14/2007 4:35:29 PM PDT by originalbuckeye (I want a hero....I'm holding out for a hero (politically))
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To: originalbuckeye

I don’t know whether he’s conservative, but he’s got a sharp sense of humor. I expect to enjoy his book whether I agree with him or not.


4 posted on 09/14/2007 4:37:35 PM PDT by Tax-chick ("My parrot thinks you're cute. I think so, too!")
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To: shrinkermd

The guy that is married to lying Andrea Mitchell, that admitted she knew Valerie Plame worked for the CIA, but later tried to cover for her boss Tim Rusert by trying to change her story. Geenspan you are judged by the company you keep and you are married to Mitchell. Your criticism rings hollow with me arse. You Gingrich, Powell and Armitage should start your own television show in the mold of Golden Girls, you can call it Golden Backstabbers.


5 posted on 09/14/2007 4:39:21 PM PDT by jrooney (The democrats are the friend of our enemy and the enemy of our friends. Attack them, not GW!)
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To: shrinkermd
Republicans in Congress, he writes, "swapped principle for power. They ended up with neither. They deserved to lose."

That would be my new tag line if it fit. Right on!

6 posted on 09/14/2007 4:40:03 PM PDT by BKerr (Thompson 2008!)
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To: Psycho_Bunny

about “Clinton’s disciplined focus on long-term economic growth?” duhh—he left the economy in recession.


7 posted on 09/14/2007 4:42:19 PM PDT by gusopol3
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To: shrinkermd
Mr. Greenspan criticizes both congressional Republicans and President George W. Bush for abandoning fiscal discipline.

This, coming from the former chairman of the inflationary Fed ? That's funny - the Fed isn't exactly a conservative institution, nor is it consistent with the principles of small government.

8 posted on 09/14/2007 4:42:54 PM PDT by cinives (On some planets what I do is considered normal.)
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To: jrooney
I was going to ask how long it took before some fool attacked Greenspan for not towing the White House line.

5 posts....

L

9 posted on 09/14/2007 4:44:35 PM PDT by Lurker ( Comparing moderate islam to extremist islam is like comparing smallpox to ebola.)
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To: BKerr

Uh huh - so by inference the Dems deserved to win ?

The both of you are nuts. You prefer socialists to Republicans. Thanks for helping the country fall faster down the slope to socialism.

I’d believe Greenspan more if he wasn’t married to a big-time liberal and if he’d campaign for those Republicans with conservative principles.


10 posted on 09/14/2007 4:45:56 PM PDT by cinives (On some planets what I do is considered normal.)
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To: gusopol3

yeah - and it happened on Greenspan’s watch, too. Of course he can’t blame Clinton - he shares it.


11 posted on 09/14/2007 4:46:57 PM PDT by cinives (On some planets what I do is considered normal.)
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To: shrinkermd
deserved to lose power last year for forsaking its small-government principles.

Yes they did deserve to lose, but I have to question why anyone would think that either party is going to abide by small-government principles/stop spending...why would they? They can loophole and palm grease their way into all the money they "need", in order to vote buy, via the tax code. Soon threats from Conservatives won't matter b/c a majority of people will be getting handouts...tax payers will be in the minority. Want to stop the spending, stop the socialist slide?....the ability of Congress to pick OUR pockets via the IRS/income tax has to be stopped first.
12 posted on 09/14/2007 4:47:04 PM PDT by socialismisinsidious ( The socialist income tax system turns US citizens into beggars or quitters!)
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To: BKerr
Republicans in Congress, he writes, "swapped principle for power. They ended up with neither. They deserved to lose."

That would be my new tag line if it fit. Right on!

How about this?

Swap principle for power and you'll end up with neither

13 posted on 09/14/2007 4:47:12 PM PDT by Forgiven_Sinner (Swap principle for power and you'll end up with neither)
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To: Lurker

And Greenspan, who presided over the dot com bubble, the real estate bubble, and so on, is a genius ?

Hardly - he’s just another idiot who wanted to play at being a god.


14 posted on 09/14/2007 4:48:54 PM PDT by cinives (On some planets what I do is considered normal.)
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To: shrinkermd

Well....yes. But the point of fiscal discipline isn’t reducing the deficit, it’s reducing the burden of goverment to the taxpayer—a point which few, if any, politicians of either major party understand.


15 posted on 09/14/2007 4:49:25 PM PDT by sourcery (Referring a "social conservative" to the Ninth Amendment is like showing the Cross to Dracula.)
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To: Forgiven_Sinner

And the Dems, who have no principles, deserve power ?


16 posted on 09/14/2007 4:52:28 PM PDT by cinives (On some planets what I do is considered normal.)
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To: shrinkermd

This should be interesting. Sounds like he’s making some valid points. As for the Andrea Mitchell influence ... he’s probably more of an influence on her than vice- versa.


17 posted on 09/14/2007 4:52:57 PM PDT by Liberty Valance (Keep a simple manner for a happy life :o)
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To: shrinkermd
greenspan is a jerk and his wife is a leftist media shill for hildebeast... but he is correct on small government... but he really does not mean it... his wife will not allow Conservative thoughts.

LLS

18 posted on 09/14/2007 4:52:58 PM PDT by LibLieSlayer (Support America, Kill terrorists, Destroy dims!)
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To: Psycho_Bunny

Guy’s wrong.

They deserved to lose...to what? Did fiscal conservatives who believe in limited government replace them? I don’t think so.

Many of the Republicans deserved to lose in primary challenges. Very few deserved to lose to democrats.


19 posted on 09/14/2007 4:54:17 PM PDT by Mr Rogers (I'm agnostic on evolution, but sit ups are from Hell!)
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To: shrinkermd

F Greenspan.

Did I get the initial wrong?


20 posted on 09/14/2007 4:54:26 PM PDT by A CA Guy (God Bless America, God bless and keep safe our fighting men and women.)
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