
The Brown & Greenspan bubble is well-and-truly bursting
Today brings mammoth financial news: Lehman Brothers has filed for Chapter 11, and Merrill Lynch is has been taken over by Bank of America. Two giants of Wall Street have fallen on the same day, and there will be more to come. I love the footage of a puzzled-looking Alan Greenspan talking about a “twice in a century” shock to the system, as if he had nothing to do with all this. The decision to pump America full of cheap debt was one taken by him at the Fed – it’s his bubble that’s bursting here. Brown copied him in Britain, leveraging up Britain in the same way. Neither saw
