The Los Angeles Times’ Bill Sing weighs in on the admission by Federal Reserve Board chairman Ben Bernanke erred in talking to CNBC’s Maria Bartiromo in an off-the-cuff remark, which then caused the markets to drop when Bartiromo reported what he said. Sing notes that Bernanke is not the only Fed chairman to make such a mistake of talking openly in the media.
Sing writes, “Alan Greenspan appeared on ABC’s ‘This Week With David Brinkley’ program shortly after taking the central bank helm in August 1987. Stocks fell after Greenspan suggested on the program that inflation could become a problem if consumers and businesses thought it was inevitable.
Greenspan never granted another television interview on the economy during his 19-year term that ended in January â€” not even to his wife, NBC News reporter Andrea Mitchell.”
Some nice context that has been missing from the discussion. Read more here.