{"id":4798,"date":"2018-11-27T01:49:21","date_gmt":"2018-11-27T01:49:21","guid":{"rendered":"http:\/\/www.styledeals.co.uk\/blog\/trump-populism-a-shout-of-pain-says-greenspan\/"},"modified":"2018-11-27T01:49:21","modified_gmt":"2018-11-27T01:49:21","slug":"trump-populism-a-shout-of-pain-says-greenspan","status":"publish","type":"post","link":"https:\/\/www.styledeals.co.uk\/blog\/trump-populism-a-shout-of-pain-says-greenspan\/","title":{"rendered":"Trump populism a &#8216;shout of pain&#8217;, says Greenspan"},"content":{"rendered":"\n<div property=\"articleBody\">\n<figure class=\"media-landscape has-caption full-width lead\"><span class=\"image-and-copyright-container\"><\/p>\n<p>                <img loading=\"lazy\" decoding=\"async\" class=\"js-image-replace\" alt=\"Alan Greenspan\" src=\"https:\/\/ichef.bbci.co.uk\/news\/320\/cpsprodpb\/4416\/production\/_104503471_gettyimages-1052386014.jpg\" width=\"976\" height=\"549\"\/><span class=\"off-screen\">Image copyright<\/span><br \/>\n                 <span class=\"story-image-copyright\">Steven Ferdman<\/span><\/p>\n<p>            <\/span><figcaption class=\"media-caption\"><span class=\"off-screen\">Image caption<\/span><br \/>\n                <span class=\"media-caption__text\"><br \/>\n                    Mr Greenspan led the Fed from 1987 to 2006<br \/>\n                <\/span><br \/>\n            <\/figcaption><\/figure>\n<p class=\"story-body__introduction\">The populism of Donald Trump is a &#8220;shout of pain&#8221; but it won&#8217;t improve the living standards of ordinary Americans, former head of the Federal Reserve Alan Greenspan has said. <\/p>\n<p>The economist, who led the bank from 1987 to 2006, told the BBC the president&#8217;s trade war with China was &#8220;insane&#8221; and hurt US workers. <\/p>\n<p>He also called Brexit a &#8220;bad outcome&#8221;. <\/p>\n<p>However, he rejected claims that his free market policies at the Fed were a cause of the 2008 financial crisis.<\/p>\n<p>&#8220;I did not forecast the 2008 crisis but then again nobody did,&#8221; he told BBC Radio 4&#8217;s Today programme.<\/p>\n<ul class=\"story-body__unordered-list\">\n<li class=\"story-body__list-item\"><a href=\"http:\/\/www.bbc.co.uk\/news\/business-42302771\" class=\"story-body__link\">The perils of a political Federal Reserve<\/a><\/li>\n<li class=\"story-body__list-item\"><a href=\"http:\/\/www.bbc.co.uk\/news\/business-45961465\" class=\"story-body__link\">Trump sharpens attack on Federal Reserve <\/a><\/li>\n<\/ul>\n<p>Since 2017, Mr Trump has left or sought to renegotiate international trade deals and imposed steep import tariffs on goods like steel. <\/p>\n<p>He says he wants to stop US jobs being lost to countries with lower labour costs, like Mexico or China, while addressing decades-old trade imbalances. <\/p>\n<p>But Mr Greenspan compared the president&#8217;s approach to that of populist leaders in Latin America in the late 19th and early 20th centuries. <\/p>\n<p>&#8220;We have one major so-called leader saying &#8216;I feel your pain and I am here to help you&#8217;,&#8221; he told Today.  <\/p>\n<p>&#8220;People like the sound of it but the facts are he is lowering the standard of living of the average American.&#8221; <\/p>\n<h2 class=\"story-body__crosshead\">&#8216;Chagrined by Brexit&#8217;<\/h2>\n<p>Mr Greenspan said that during a trade war, tariffs acted like a tax on both sides, meaning that no one emerged better off. <\/p>\n<p>&#8220;You add excise tax and suffer accordingly &#8211; but if your suffering is less than your opponent&#8217;s then you have won the war,&#8221; he said. <\/p>\n<p>He said Britain&#8217;s decision to leave the EU had &#8220;chagrined&#8221; him and would also leave UK citizens worse off. <\/p>\n<p>&#8220;Let&#8217;s remember the purpose of the EU is to get the division of labour so structured that you maximise the value-added of the production of the society. <\/p>\n<p>&#8220;And to the extent that you impair that, which is what a tariff does, you lower the standard of living in England.&#8221;<\/p>\n<p>During his tenure at the Fed Mr Greenspan oversaw the world&#8217;s longest post-war boom, encouraging growth through low interest rates and deregulation. <\/p>\n<p>But some say he failed to stop the excesses that led to the subprime mortgage crisis of 2007 &#8211; the precursor to the global financial crisis.<\/p>\n<p>Mr Greenspan has in the past admitted he was &#8220;partially wrong&#8221; in his hands-off approach, but he told the BBC that populists like Mr Trump did not have the answer. <\/p>\n<p>&#8220;They can promise to protect people from the market but we should remember the rate of increase in productivity in both the UK and the US is going down.&#8221; <\/p>\n<\/p><\/div>\n<p><br \/>\n<br \/><a href=\"https:\/\/www.bbc.co.uk\/news\/business-46353127\">Source<\/a> by <a href=\"\">[author_name]<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Image copyright Steven Ferdman Image caption Mr Greenspan led the Fed from 1987 to 2006 The populism of Donald Trump is a &#8220;shout of pain&#8221; but it won&#8217;t improve the living standards of ordinary Americans, former head of the Federal Reserve Alan Greenspan has said. The economist, who led the bank from 1987 to 2006, &hellip; <\/p>\n","protected":false},"author":0,"featured_media":4799,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-4798","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general"],"_links":{"self":[{"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/posts\/4798","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/comments?post=4798"}],"version-history":[{"count":0,"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/posts\/4798\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/media\/4799"}],"wp:attachment":[{"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/media?parent=4798"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/categories?post=4798"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/tags?post=4798"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}