Greenspan Testifies: "savings are extraordinarily productive."
Updated 12:17 PM ET June 21, 2001
from Associate Press News article by Marcy Gordon
WASHINGTON (AP) - Federal Reserve Chairman Alan
Greenspan, on Wednesday, said he's not worried that the new 1.35 trillion dollar tax cut might plunge the Federal Budget into deficit.
During questioning, G'SPAN suggested that the problem of Americans' low savings rate---which stood at a negative .07 % of after-tax income in April---is tempered "...by the extraordinary degree of productivity from our savings."
During questioning, G'SPAN suggested that the problem of Americans' low savings rate---which stood at a negative .07 % of after-tax income in April---is tempered "...by the extraordinary degree of productivity from our savings."
QUESTION - How can a negative rate of savings---this means that people are liquidating their savings account to the tune of .007 of their After Tax Income, or (someone with $ 30,000 income, after taxes, spent $210.00 of their savings)--- be productive?
Do you recall that the average bank savings account, in Sixties and Seventies, used to earn 4% or more?
The article goes on to say that a FED Governor, Edward Gramlich, said in a speech the same day, Wednesday, that personal savings is vital for households to maintain their standard of living, and more work should be done to help consumers---especially low to moderate income families---improve their financial situation.
QUESTION - How many of such families, that you know of, have a savings account? How many have a home with equity, free and clear,---the one and only savings plan, for moderate income families, in years gone by?
Four months ago, Greenspan said he preferred paying down the debt to tax cuts. Now, he, like the Supreme Court majority, has "gone political". Like the Media, they are, all, in the pockets of Big Oil and controlled by the Banksters.
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