Wednesday, March 02, 2005
I only watched a few minutes, so perhaps this description of Greenspan's testimony before a House committee is out of context or misinterpreted:
Greenspan was asked whether, in view of his previous statements about the dangers in the growing concentration of wealth in the wealthiest, the need for growth in productivity throughout the economy, and the importance of education and training as a way to improve the productivity and earning power throughout the economy (Congressional questions are full of whereas clauses), wasn't the reduction in support for education and training an economic issue.
Greenspan replied that decisions are hard, that if you reduce revenues and increase expenses you increase the deficit, and that decisions like this are a Congressional issue.
In other words, he either ducked the question, or (Greenspan's answers are full of ambiguity) said that taking measures to increase productivity and earning power throughout the economy is not an economic issue.