Bankruptcy

Greenspan Admits "Mistake"

By Angie Littwin

If you missed Former Fed Chairman Alan Greenspan's incredible admission today, here it is. In a stunning statement, he said that much of his previous faith in free markets had been wrong:  "I made a mistake in presuming that the self-interests of organizations, specifically banks and others, were such as that they were best capable of protecting their own shareholders and their equity in the firms.? He further called this mistake "a flaw in the model ... that defines how the world works." Let's hope that policymakers still in office agree.

Full post as published by Credit Slips on October 23, 2008 (boomark / email).