Understanding Alan Greenspan's Role in Economic Crises

What was Alan Greenspan's reputation during the 1990s?

• He was criticized for his policies.

• He was considered a failure.

• He was unknown in the financial world.

• He was seen as a financial genius.

How did Greenspan handle monetary policy during strong economic times?

• He ignored economic indicators.

• He increased interest rates significantly.

• He allowed productivity to drive the economy.

• He intervened heavily in the market.

Which financial crisis did Greenspan manage in 1987?

• The stock market crash

• The collapse of long-term capital management

• The Russian bond default

• The Asian financial crisis

What was Greenspan's strategy during financial crises?

• To ignore the crises

• To provide enough liquidity and maintain system functioning

• To reduce liquidity in the market

• To increase interest rates

How does the transcript describe Greenspan's role in financial stability?

• He maintained financial stability during crises.

• He destabilized the financial system.

• He ignored financial stability.

• He caused financial instability.

What was the outcome of Greenspan's crisis management?

• The financial system collapsed.

• The crises became permanent issues.

• His reputation was damaged.

• His reputation was enhanced.

What is the main criticism against Greenspan regarding interest rates?

• He ignored interest rate policies.

• He raised interest rates too quickly.

• He kept interest rates too low for too long.

• He caused hyperinflation.

Did Greenspan cause the housing bubble according to the transcript?

• Yes, he directly caused it.

• No, he is unfairly blamed for it.

• Yes, he encouraged risky loans.

• No, he had no influence on it.

What does the transcript suggest about making unwise loans?

• Low interest rates force unwise loans.

• High interest rates encourage unwise loans.

• Interest rates have no impact on loan decisions.

• Unwise loans are independent of interest rates.

What is the overall tone of the transcript towards Greenspan's legacy?

• Highly critical and negative

• Balanced with both praise and criticism

• Entirely dismissive of his contributions

• Unquestionably supportive