There can be no doubt that Greenspan, primarily through his low interest rate policy but also through the negative effects of his various bailouts, was responsible for the housing bubble and therefore the current slump. While the Community Reinvestment Act and the activities of Fannie Mae and Freddie Mac aggravated the crisis, their role was only minor.
Stefan Karlsson
Latest work
Even as Greenspan is condemned and blamed for the economic crisis, not just at the Ludwig von Mises Institute but also at the Ayn Rand Institute, the “libertarian” Cato Institute now rushes to his...
Today on LRC I explain why America really is in a recession and has been so since at least November last year despite the seemingly positive growth (Which as I explain really isn’t positive). So if...