by Mike ‘Mish’ Shedlock
Mish Talk
On the state of the U.S. and global economy, he said: “We’re in trouble basically because productivity is dead in the water.”
On whether he is optimistic going forward, Greenspan said: “No. I haven’t been for quite a while. And I won’t be until we can resolve the entitlement programs. Nobody wants to touch it. And that is gradually crowding out capital investment, and that’s crowding out productivity, and it’s crowding out the standards of living where do you want me to go from there.”
Greenspan was critical of negative interest rates but refused to comment directly on the recent decision of the ECB. He is also worried about interest rates and the level of debts.