Greenspan: Period of `Sub-Par' US Econ Growth Isn't Over
Greenspan: Further Interest-Rate Cuts Can't Be Ruled Out
GREENSPAN-MUST BE AWARE 2001 RATE CUTS TO PROVIDE ECONOMIC
SUPPORT LATER IN YEAR
Greenspan: Rate Cuts To Give `Substantial' Boost To Econ
Greenspan Downplays Overshooting Fears; Sees Tame Prices
Greenspan: US High-Tech Sector To Rebound, Boosting Econ
Greenspan: Mkts Poised To Curb Gasoline Prices At Pumps
GREENSPAN SAYS TIME OF SUBPAR U.S. ECONOMIC GROWTH NOT YET OVER
GREENSPAN SEES DOWNSIDE RISKS TO U.S. CONSUMER SPENDING OVER
NEXT FEW QUARTERS
GREENSPAN SAYS U.S. CONSUMER SENTIMENT STABILIZED, BUT FRAGILE
GREENSPAN-INVENTORY CYCLE "WELL ADVANCED" BUT HI-TECH
INVENTORIES STILL HIGH
TEXT-Greenspan speech to Economic Club of New York
Owing to the variable and long lags of monetary policy, the effect of our recent policy initiatives will take time to strengthen financial portfolios and spill over into demand for goods and services. The period of sub-par economic growth is not yet over, and we are not free of the risk that economic weakness will be greater than currently anticipated, requiring further policy response. But we also need to be aware that our front-loaded policy actions this year should be providing substantial support for a strengthening of economic activity later this year. Moreover, with all our concerns about the next several quarters, there is still, in my judgment, ample evidence that we are experiencing only a pause in the investment in a broad set of innovations that has elevated the underlying growth rate in productivity to a level significantly above that of the two decades preceding 1995. By all evidence, we are not yet dealing with maturing technologies that, after having sparkled for a half decade, are now in the process of fizzling out. To the contrary, once the forces that are currently containing investment initiatives dissipate, new broadened applications of innovative technologies should again strengthen demand for capital equipment and restore solid economic growth. |
