OMG!

"It's hard to escape the conclusion that at some point our extraordinary housing boom...cannot continue indefinitely into the future." —Alan Greenspan, November 2002


In other Greenspan news:

He thinks the housing bottom is right around the corner. (Housing bulls might as well start quoting Annie, because the housing bottom is always a day away.)

Greenspan also says that instead of bailing out Fannie Mae and Freddie Mac shareholders, any government bailout should wipe out shareholders, break the companies into 5-10 smaller companies, and then sell them back into the stock market. I agree with Greenspan on this point. The enormous size of these two companies creates a serious systemic risk to the U.S. economy.