Wednesday, April 16, 2014
Inquirer Daily News

Tear down THIS myth, too

Tear down THIS myth, too

In addition to you-know-who, there's the myth of Alan Greenspan, appointed in 1987 by you-know-who. Joseph Stiglitz, who like Paul Krugman is a Nobel laureate economist who's been getting it right on the coming-and-now-here-bust for a long time, has a great piece in Vanity Fair looking at how Clinton, Bush II, Reagan, and other share the blame for inflating the bursting bubble:

In 1987 the Reagan administration decided to remove Paul Volcker as chairman of the Federal Reserve Board and appoint Alan Greenspan in his place. Volcker had done what central bankers are supposed to do. On his watch, inflation had been brought down from more than 11 percent to under 4 percent. In the world of central banking, that should have earned him a grade of A+++ and assured his re-appointment. But Volcker also understood that financial markets need to be regulated. Reagan wanted someone who did not believe any such thing, and he found him in a devotee of the objectivist philosopher and free-market zealot Ayn Rand.

You should read the whole article, and so should the world's biggest Ayn Rand zealot, our own Ed Snider.

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Will Bunch
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