Areas Quote by Alan Greenspan
“If prices go down, we will have problems - problems in the sense of spillover to other areas.”
About This Quote
Source Speech: Economic Outlook, Federal Reserve, 2008
Lower prices can trigger broader economic issues, spreading to other sectors.
In simple terms: Price drops can cause wider problems.
Watch for ripple effects of deflation.
Themes
Mood
Type
When to use this quote
- budget planning
- investment strategy
- government policy
- business forecasting
Key Concepts
Questions to Reflect On
- What sectors are most vulnerable to price declines?
- How can policymakers mitigate spillover risks?
Assumes all price drops are harmful, ignoring beneficial deflation.