Deleted Member

Sep 17, 07 at 02:28pm
Greenspan on Iraq war, oil link
Says he told White House ousting Saddam was 'essential' to world supplies
MSNBC News Services
Updated: 9:44 a.m. ET Sept 17, 2007
WASHINGTON - Clarifying a controversial comment in his new memoir, former Federal Reserve Chairman Alan Greenspan said he told the White House before the Iraq war that removing Saddam Hussein was “essential” to secure world oil supplies, according to an interview published on Monday.

Greenspan, who wrote in his memoir that “the Iraq War is largely about oil,” said in a Washington Post interview that while securing global oil supplies was “not the administration’s motive,” he had presented the White House before the 2003 invasion with the case for why removing the then-Iraqi leader was important for the global economy.

“I was not saying that that’s the administration’s motive,” Greenspan said in the interview conducted on Saturday. “I’m just saying that if somebody asked me, ’Are we fortunate in taking out Saddam?’ I would say it was essential.”

In his new book “The Age of Turbulence: Adventures in a New World,” Greenspan wrote: “I’m saddened that it is politically inconvenient to acknowledge what everyone knows: The Iraq war is largely about oil.”

Gates rejects comment
U.S. Defense Secretary Robert Gates on Sunday rejected the comment, which echoed long-held complaints of many critics that a key motivating force in the war was to maintain U.S. access to the rich oil supplies in Iraq.

Appearing on ABC’s “This Week,” Gates said, “I have a lot of respect for Mr. Greenspan.” But he disagreed with his comment about oil being a leading motivating factor in the war.

“I know the same allegation was made about the Gulf War in 1991, and I just don’t believe it’s true,” Gates said.

“I think that it’s really about stability in the Gulf. It’s about rogue regimes trying to develop weapons of mass destruction. It’s about aggressive dictators,” Gates said.

Greenspan retired in January 2006 after more than 18 years as chairman of the Fed, the U.S. central bank, which regulates monetary policy.

He has been conducting a round of interviews coinciding with the release of his book, which goes on sale on Monday.

Economic motivation for war
In The Washington Post interview, Greenspan said at the time of the invasion he believed like President George W. Bush that Iraq had weapons of mass destruction “because Saddam was acting so guiltily trying to protect something.”

But Greenspan’s main support for Saddam’s ouster was economically motivated, the Post reported.

“My view is that Saddam, looking over his 30-year history, very clearly was giving evidence of moving towards controlling the Straits of Hormuz, where there are 17, 18, 19 million barrels a day” passing through,” Greenspan said.

Even a small disruption could drive oil prices as high as $120 a barrel and would mean “chaos” to the global economy, Greenspan told the newspaper.

Given that, “I’m saying taking Saddam out was essential,” he said. But he added he was not implying the war was an oil grab, the Post said.

Dismay with Democrats
Greenspan, who in his memoir criticized Bush and congressional Republicans for abandoning fiscal discipline and putting politics ahead of sound economics, also expressed dismay with the Democratic Party in an interview with The Wall Street Journal published on Monday.

Greenspan told the Journal he was “fairly close” to former President Bill Clinton’s economic advisers, but added, “The next administration may have the Clinton administration name, but the Democratic Party ... has moved ... very significantly in the wrong direction.” He cited its populist bent, especially its skepticism of free trade. Clinton’s wife, Sen. Hillary Clinton, is the Democratic presidential front-runner.

Greenspan, a self-described libertarian Republican, told the Journal he was not sure how he would vote in the 2008 election.

“I just may not vote,” he was quoted as saying, adding, ”I’m saddened by the whole political process.”

Greenspan on greenback
Meanwhile, a German magazine reported that Greenspan said it is possible that the euro could replace the U.S. dollar as the reserve currency of choice.

According to an advance copy of an interview to be published in Thursday’s edition of Stern, Greenspan said that the dollar is still slightly ahead in its use as a reserve currency, but added that “it doesn’t have all that much of an advantage” anymore.

The euro has been soaring against the U.S. currency in recent weeks, hitting all-time high of $1.3927 last week as the dollar has fallen on turbulent market conditions stemming from the ongoing U.S. subprime crisis. The Fed meets this week and is expected to lower its benchmark interest rate from the current 5.25 percent.

Greenspan said that at the end of 2006, some 25 percent of all currency reserves held by central banks were held in euros, compared to 66 percent for the U.S. dollar.

In terms of being used as a payment for cross-border transactions, the euro is trailing the dollar only slightly with 39 percent to 43 percent.

Greenspan said the European Central Bank has become “a serious factor in the global economy.”

He said the increased usage of the euro as a reserve currency has led to a lowering of interest rates in the euro zone, which has “without any doubt contributed to the current economic growth.”

The Associated Press and Reuters contributed to this report.

greenspan for president!

Deleted Member

Sep 17, 07 at 10:26pm
where's all the vengeful indignation?
oh you silly republicans.
seems like validation to me.

Deleted Member

Sep 17, 07 at 10:41pm
It's just too long to read, and your handwriting sucks.:roll:

Deleted Member

Sep 17, 07 at 10:49pm
you try ranting on a roll of govt issue toilet paper!your hand writting will suffer also.
gotta keep working on my manifesto #56

Deleted Member

Sep 18, 07 at 07:29am
Does anybody remember the news flash that was posted here years ago about Alan Greenspan getting arrested for being drunk and pushing a Coke machine off the second story hotel plarform into the pool ? It was bullshit, but it was really funny. If I remember correctly it
told the world what a party animal he is. I would love to get a copy of it again.

Deleted Member

Sep 18, 07 at 08:59am
yeah i remember,funny as hell.
that little wimp would have trouble tipping a can of coke,let alone a whole vending machine.
one hell of a bean counter tho.

Deleted Member

Sep 18, 07 at 09:18am
Can anybody find a copy of it ???


Sep 18, 07 at 05:21pm
I always thought Greenspan was a dickhead. His idea of how to run the economy was to just let it run its course. He knew the shit was going to hit the fan over the recent mortgage crisis and hauled ass just in time.
And I saw a forecast today that said the next oil price plateau would be in the $100 a barrel range. I guess it didn't do us any good to get the oil since we can't get it away from the crooks at Exxon-Mobil.

Deleted Member

Sep 18, 07 at 11:32pm
it aint just exon mobile.the white house is busting at the seams with former oil men.

Deleted Member

Sep 19, 07 at 10:32am
JUST TRYING TO SELL A BOOK!!!!!!!!!!!!!!!!!!!!!!