Ocasio-Cortez, Sanders' socialist agenda concerns Alan Greenspan

Channel: Fox Business
Published: 05/16/2019 05:03 PM

Description
Former Federal Reserve Chairman Alan Greenspan on the mounting debate over capitalism versus socialism. FOX Business Network (FBN) is a financial news channel delivering real-time information across all platforms that impact both Main Street and Wall Street. Headquartered in New York — the busi...



Transcript
Mm, let me move on to capitalism. You just wrote a book on it. Capitalism versus socialism seems to be a setup going into 2020. What do you think of the socialist agenda of people like, for example, bernie sanders representative alexander ocasio cortes, where we're seeing ideas for big federal programs to address health care medicare for all? Obviously the green new deal: what's your take of what ...
ou're hearing these days in terms of those programs? Beware of double entry bookkeeping! It'S only one side of an issue. The question is where's the funding coming from and what does it do to the inflation problem and because the inflation hasn't taken hold? Nobody is looking meaningfully at thebudget deficit, which is now beginning to rise, fairly, significant, yes and and and as interest rates move. Obviously, the debt becomes that much more expensive, but so far we're not really seeing much movement. There we're seeing actually rates stay, pretty low capitalism versus socialism, income inequality is obviously the issue sparking many people who have been capitalists to say capitalism needs some tweaking your reaction. Well, remember that the basic problem of inequality is the fact that people are born that way, we're all born differently and when they get to convert that problem into the marketplace. Normally you'll have a significant mouth distribution of income, and it's only when we look at and say this is unfortunatefor the stability of the system, which i think it is it's very difficult to do all that. Much because you're, fighting or you're finding a fundamental issue, which is human nature, we're doing the best we can, but how it turns out politically, doesn't seem to be an alternative to free enterprise. Capitalism, lifts many boats, capitalism and correct me. If i'm wrong, but capitalism, people out of poverty, that's the best you're gon na get it's a very good thing because remember: look the united states with all of its problems, started back very early on and 1800, for example, very low per capita income, very small relative To europe we outpaced the rest of the world.

Basically becauseit was a capitalist economy. A private enterprise was a crucial issue and individuals. Basically, during the post-civil war period, the american economy took off i'll paste. Everybody we're still way ahead of. I could not agree more so these issues around socialism replacing capitalism, are just misguided. Well, the question is the history of socialism. Is that it's failed in every place? It'S been tried. That'S right most, notably venezuela was the richest country in that region. At one point, it's really very sad because they still have the largest oil reserves in the world that used to be a major international economy. Yeah dr. green spends great to see if thanks very much.


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