'This is the worst,' Alan Greenspan says of British break from EU

[Team Sergeant]

Normally I'd never read anything posted on CNBC but when the link to see what Alan Greenspan said I went. And was again amazed at the lengths the socialists will go to call the problem something else. This was insane, even Greenspan will not call the problem "socialism".






'This is the worst,' Alan Greenspan says of British break from EU
Christine Wang 6 Hours Ago

Former Fed Chairman Alan Greenspan told CNBC on Friday the U.K. vote to leave the European Union ushers in a period that's even worse than the darkest days of October 1987.

Britons voted by 51.9 percent to quit the 28-country union, shocking markets that had priced in a win for the remain camp.

"This is the worst period, I recall since I've been in public service," Greenspan said on "Squawk on the Street."

"There's nothing like it, including the crisis — remember October 19th, 1987, when the Dow went down by a record amount 23 percent? That I thought was the bottom of all potential problems. This has a corrosive effect that will not go away."

(You can watch the full broadcast interview on CNBC PRO .)

The former Fed chairman said that the root of the "British problem is far more widespread." He said the result of the referendum will "almost surely" lead to the Scottish National Party trying to "resurrect Scottish Independence."

Greenspan said the "euro currency is the immediate problem." While the euro and the euro zone were major steps in a movement toward European political integration, "it's failing," he said.
"Brexit is not the end of the set of problems, which I always thought were going to start with the euro because the euro is a very serious problem in that the southern part of the euro zone is being funded by the northern part and the European Central Bank," Greenspan said.

ven with that in mind, the European Central Bank is limited in what it can do because these fundamental problems like the stagnation of real incomes don't have easy solutions, Greenspan told CNBC.
"There's a certain amount that monetary policy can do, but our problem is fundamentally fiscal," he said, adding that this is true in the United States as well as "every major country in Europe."

Part of the problem is that the "developed countries are all aging very rapidly," which is leading to a higher ratio of government spending in the form of entitlements, Greenspan said.

The 90-year-old Greenspan presided over the Federal Reserve for 19 years, starting with the administration of President Ronald Reagan through that of George W. Bush.


http://www.cnbc.com/2016/06/24/alan-...e-iceberg.html

[Old Dog New Trick]

Why does he talk about the Euro and its problems. Is it only because he doesn't understand the British kept their currency and have been propping up the Euro for far too many years now.

You are right though. The socialist will stoop to new lows in the coming months and years to show how bad this was...in five to ten years the British will be laughing at them with the knowledge that eventually "other people's money" runs out; no matter what you call it.

[kalanis]

Originally Posted by Old Dog New Trick

...in five to ten years the British will be laughing...

We deregulation, possibly in half that time. Look at what Ludwig Erhard did for Germany after WWII.

[mark46th]

Sounds like the Brits got tired of paying for Merkel's bad ideas.

[ddoering]

Merkel is proof that the DDR actually won the Cold War.

[Team Sergeant]

Originally Posted by ddoering

Merkel is proof that the DDR actually won the Cold War.

Good point!

[tom kelly]

Like Social Security????? That POS Alan Greenspan calls SS an entitlement, I like millions of others have paid into a fund social security even while in combat in Vietnam, Have the pay records to prove it; Box no.41 Fed Tax withheld code 21. $85.61 this income tax was later reimbursed thru a law enacted by congress to not charge people in a combat zone. Box 42.code29. $6.69 this was SS and was not reimbursed. The social security fund was embezzled 1st by Pres.Eisenhower for the Interstate Highway system. Than by Pres. Johnson for his Wars Vietnam, Laos ,Poverty and THE GREAT Society and on and on
Tom Kelly

[GratefulCitizen]

Originally Posted by tom kelly

Like Social Security????? That POS Alan Greenspan calls SS an entitlement, I like millions of others have paid into a fund social security even while in combat in Vietnam, Have the pay records to prove it; Box no.41 Fed Tax withheld code 21. $85.61 this income tax was later reimbursed thru a law enacted by congress to not charge people in a combat zone. Box 42.code29. $6.69 this was SS and was not reimbursed. The social security fund was embezzled 1st by Pres.Eisenhower for the Interstate Highway system. Than by Pres. Johnson for his Wars Vietnam, Laos ,Poverty and THE GREAT Society and on and on
Tom Kelly

The whole "SS is broke" bit is nothing but a scheme to impose a stealth tax on retirees.

Suppose the gov't paid the full amount, and then put additional taxes on it.
That's the same as not paying the full amount.

We have a fiat currency.
There is no reason why SS cannot be paid, regardless of the status of the trust fund (same cannot be said for non-federal gov't programs, as they can't print heir own money).

The problem is the finite level of goods and services in the economy.
Give money to retiree A and retiree B, they still must bid for the goods/services of worker C.

More money for A and B just drives up the price for worker C.
What's needed is more productivity from worker C.

More subway tokens won't make more subway trains.
That takes actual work and investment.

http://wfhummel.net/subwaytokens.html

[Divemaster]

Originally Posted by tom kelly

Like Social Security????? That POS Alan Greenspan calls SS an entitlement, I like millions of others have paid into a fund social security even while in combat in Vietnam, Have the pay records to prove it; Box no.41 Fed Tax withheld code 21. $85.61 this income tax was later reimbursed thru a law enacted by congress to not charge people in a combat zone. Box 42.code29. $6.69 this was SS and was not reimbursed. The social security fund was embezzled 1st by Pres.Eisenhower for the Interstate Highway system. Than by Pres. Johnson for his Wars Vietnam, Laos ,Poverty and THE GREAT Society and on and on
Tom Kelly

Social Security is an entitlement. So is my military pension. That's how these things are classified. Just because it is an "entitlement" does not mean it is something for nothing. Medicare, Medicaid, and welfare type programs (something for nothing) also fall into this category for budgetary purposes.

[Old Dog New Trick]

Tom, you had it right when you said, Alan Greenspan POS!...

Alan Greenspan - architect of the 2008 financial collapse! 'nuff said.

[Last hard class]

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