Former Federal Reserve Chairman Alan Greenspan who retired over a decade ago still makes comments, why?
He is now saying that the US Economy will start to fade very dramatically on the back of heavy weight of growing entitlement programs. He also sites the weakness in the global economy as having long-term impact. The long-time central bank chief repeated his warnings again, as he has done in the past, saying that the weight of Social Security, Medicare and other programs will have impact on economic gains in the future. He is right and this is going to be an issue that the US must deal with but he does have a habit of getting involved many years after he retired. What about supporting the next generation of finance majors at top schools? They would love to talk to him and would learn.
We like support Mr Greenspan but we would like him to be a mentor for the youth, he can teach them and turn them into responsible bankers and analysts in the future.
“Without a major change in entitlements, which are basically draining capital investment dollar for dollar…..the entitlements will rise with the aging population.” He was called “The Maestro” when he ruled years ago. He suggests that for now, the economy is strong and that the S&P 500 could rally 16 percent in 2019. More on Mr Greenspan in the coming weeks. We like this guy but we want him to retire and advise the youth, not preach on TV every week.