Greenspan upbeat in long run by Rex Nutting
Prospects are bright for a return to a high-growth economy once a "temporary glut" in capacity is worked out, Federal Reserve Chairman Alan Greenspan said Tuesday. In remarkably optimistic testimony coming on the heels of the biggest cut in interest rates in his 14-year term, Greenspan told the Senate Banking Committee that the current slowdown "will presumably be limited."
In the immediate future, "downside risks predominate," he said, citing consumer confidence, inventories, slow foreign markets and nervous capital markets.
Prospects are bright for a return to a high-growth economy once a "temporary glut" in capacity is worked out, Federal Reserve Chairman Alan Greenspan said Tuesday. In remarkably optimistic testimony coming on the heels of the biggest cut in interest rates in his 14-year term, Greenspan told the Senate Banking Committee that the current slowdown "will presumably be limited."
In the immediate future, "downside risks predominate," he said, citing consumer confidence, inventories, slow foreign markets and nervous capital markets.