Alan Greenspan Growing Quotations

Because it is difficult to suppress growing market exuberance when the economic environment is perceived as more stable, a highly flexible system needs to be in place to rebalance an economy in which psychology and asset prices could change rapidly,

difficult to suppress growing market exuberance when the economic environment is perceived as more stable.

Demand may be moving closer into line with the rate of advance in the economy's potential, given our continued impressive productivity growth, ... Should this favorable outcome prevail, the immediate threat to our prosperity from growing imbalances in our economy would abate.

Demand has been growing quite strongly in recent months, and the (Fed monetary-policy committee)? will have to judge whether that pace of expansion will be maintained (and), if so, whether it will continue to be met by solid productivity growth, as it apparently has been.

The growing stability of the world economy over the past decade may have encouraged investors to accept increasingly lower levels of compensation for risk.