Born March 6, 1926
Education: NYU (PhD)
Political Party: Republican
Former Job: Chairman of the Federal Reserve
The most unique thing about Greenspan is his duplicity. Alan went from a gold standard/free market lover of Ayn Rand to the Chairman of the Federal Reserve. Kind of like Luke Skywalker deciding he wants to be leader of the death star. If you read his early writings and compare it to the mid and later points of his career you can hardly believe he is the same person. He became exactly what he initially rallied against. Greenspan had an unprecedented 19 year run as Fed Chairman and during that time he was viewed by the market as mostly a success. The United States went on one of the longest runs of expansion in economic history as Greenspan advocated low debt, small government and low taxes. He became the wise sage of economic advice and much of America took his word as money gospel. But all this was tarnished by the reality headed our way.
Because of years of stimulating the economy and never allowing the system to have any real correction, the financial pressure built in the system, reaching the reality of boiling point. Greenspan did everything to keep the economy humming through the Stock Market crash of 1987, the recessions of the early 90's and early 2000's, the Asian Financial Crisis of the late 90's, as well as the meltdown of Long Term Capital by manipulating Federal Reserve interest rates. He kept his foot on the gas and the engine well oiled so the pain of the present events remained under the boiling point. Greenspan contained the pressure of the big one until finally it arrived in 2007 when the entire system started to collapse. All the years of excess we were given under Greenspan's policies were not free and contributed to the classic Boom and Bust cycle the Fed is now famous for creating. The current people in power refuse to deal with reality and the FED continues to present America with so called solutions that will prolong America's downturn and ultimately push us towards an economic collapse that will make this one look like a walk in the park.
Key Quote: In the absence of the gold standard, there is no way to protect savings from confiscation through inflation. There is no safe store of value.