AccessMyLibrary provides FREE access to over 30 million articles from top publications available through your library.
Create a link to this page
Copy and paste this link tag into your Web page or blog:
Building on the bubble.(Insider Report)
In late February, Federal Reserve Chairman Alan Greenspan--to the befuddlement of many financial analysts--floated the suggestion that homeowners should consider switching from fixed-rate mortgages to adjustable-rate mortgages (ARMs). This advice made no sense, given that interest rates are at 30-year lows, and are almost certain to rise soon--meaning that those who change to ARMs would end up paying a great deal more in interest. Greenspan's suggestion was "the strangest bit of advice ever to be proffered by an American central banker," opined Jim Grant, publisher of Grant's Interest Rate Observer.
"But sometimes wacko ideas can betray deeper truths," pointed out Benjamin Wallace-Wells in the April Washington Monthly. "Quite simply, Greenspan is trying to keep a wobbly and fragile economy alive--and using mortgage refinancing to do it."
"Americans have been using their homes as ATM machines, refinancing their mortgages in order to fund their spending" continues Wallace-Wells. "The one sector of the economy that has consistently swelled has been housing prices.... Because of these rising prices, people have felt that despite all the ups and downs in stocks and salaries, their overall situation was okay.... For that reason, Americans have felt more comfortable buying ...
- GQ April '05: The Politics of Alan Greenspan; GQ on Greenspan's Political Arm,...
- Press release article from: PR Newswire March 15, 2005 700+ words
...chairman of the Federal Reserve, Alan Greenspan, finds himself in the unfamiliar position...correspondent Wil S. Hylton profiles Greenspan for the magazine's April issue, questioning...colleagues of the notoriously private Greenspan, including Gerald Ford, James Baker...
- The long arm of Alan Greenspan.(Brief Article)
- Magazine article from: Inside Business FREY, JOE July 1, 2001 700+ words
...nominee Jack Kemp is not a fan of Alan Greenspan's economic policies. In a conversation...babies that are being strangled by Mr. Greenspan's monetary policies. In late '99 and early '00, Greenspan was talking about irrational exuberance...
- The particulars of Greenspan's concern.(EDITORIALS)
- Newspaper article from: The Washington Times June 14, 2005 700+ words
...mortgage situation, Mr. Greenspan cited the "dramatic...adjusted-rate mortgages (ARMs), whose developments...fixed-rate mortgages, ARMs carry greater risk because...relatively new interest-only ARMs, which require no principal...circumstances, however, Mr. Greenspan envisioned no ...
- Alan Greenspan, in his own words.(FEATURES)(BOOKS)
- Newspaper article from: The Christian Science Monitor Trumbull, Mark October 9, 2007 700+ words
...criticism of other power brokers. Greenspan takes his own Republican Party...the Reagan administration, Greenspan worked for a time analyzing...He relates that the Reagan arms buildup was a conscious test...economy couldn't keep up. Greenspan doesn't pretend that all...
- The Republican attack on Greenspan.(Commentary)(Editorials)
- Newspaper article from: The Washington Times September 7, 1999 700+ words
...attacks upon Fed Chairman Alan Greenspan, arguably the most able economic...attacks directed against Mr. Greenspan have occurred despite the fact...the Fed's policy-making arm, voted 9-1 to raise the...are too high and while Alan Greenspan and the Federal Reserve raise...
- Greenspan sails through re-nomination hearing.
- News wire article from: United Press International January 28, 2000 700+ words
...Washington this week and postponed Greenspan's appearance, which had...said in his opening remarks. Greenspan comes before the Senate during...likely to be welcomed with open arms by the next president, whose...in office will coincide with Greenspan's term. Greenspan is considered...
- 'New Mortgage Option Needed': Greenspan Makes Pitch Before CU Audience.
- News wire article from: Banking Wire Roberts, Ed March 9, 2004 700+ words
...Bankers Association, ARMs accounted for 27% of...average rate for one-year ARMs was 3.36% last week...unions have expanded their ARM offerings in recent years...five- and seven-year ARMs, and so-called step...in the short-term, Greenspan noted. "American consumers...
- Federal Reserve Chairman Greenspan Says Impending War Imperils Economy.
- Newspaper article from: Knight Ridder/Tribune Business News February 12, 2003 700+ words
...deficits the next two years. Greenspan said yesterday that he supported...questions after his testimony, Greenspan also said the economy does not need a fiscal shot in the arm. "Unless and until we can...fiscal stimulus.' " Indeed, Greenspan said yesterday, if the economy...
Source: HighBeam Research, Building on the bubble.(Insider Report)