U.S. Economic Recovery “Extremely Unbalanced” : Greenspan

Formal Federal Reserve Chairman Alan Greenspan has termed the U.S. economic recovery as “extremely unbalanced”. Alan Greenspan was speaking at a Credit Union National Association conference. He said that the economy is unlikely to have a strong rebound as long as the housing starts and auto sales are “dead in the water”

Greenspan also stated that despite the signs of modest recovery in job creation, the employment rate is still well below the optimum level. He said, “It’s really an extraordinarily unbalanced system because we’re dealing with small businesses who are doing badly, small banks in trouble, and of course there is an extraordinarily large proportion of the unemployed in this country who have been out of work for more than six months”.