Saturday, December 20, 2008

onmouseover="return window.status='http://www.mises.org/story/3252'" onmouseout="window.status=''" href="http://www.mises.org/story/3252">Evidence that the Fed Caused the Housing Boom

Evidence that the Fed Caused the Housing Boom
In this forum I have argued that Alan Greenspan's low-interest-rate policy after the dot-com bust and 9/11 attacks sowed the seeds for our current recession and the housing bubble . I have also criticized the alternate theory that a foreign "savings glut" was the true culprit, rather than the Fed. In the present article, I want to deal with a few empirical objections to the case against Greenspan.

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