Personal Injury Law

When Government Makes Mistakes

By Jane Akre

Americans injured by the financial collapse of this country have to look at the housing industry and specifically Alan Greenspan, former chairman of the Federal Reserve. He was considered a "monetary policy genius" who was in charge of the Federal Reserve Bank for over 20 years.

Greenspan testified before the House committee of Oversight and Reform Thursday and in a rare admission by government said he was "shocked" by the financial crisis.

He told congressional investigators yesterday that we should expect more layoffs and more unemployment.  Greenspan, who retired in January 2006, always had faith in the free market, but in this case financial institutions did not act in the best interest of shareholders, he told the committee.

Keeping interest rates artificially low helped lead to the housing bubble, most agree. 

Reuters has this clip, as distributed by Brasscheck tv. #

Full post as published by InjuryBoard on October 24, 2008 (boomark / email).