Alan Greenspan said the Federal Reserve is sitting on "a pile of tinder." That "the gold standard is not possible in a welfare state." That the Fed is not "independent." That the price of gold is headed "measurably higher."
Really? The former "maestro" of the Fed said all those fairly incendiary things?
Let's just say I was highly skeptical when I first saw those words, contained in a blog post from Axel G. Merk of Merk Investments and apparently uttered at the New Orleans Investment Conference last Saturday ... and reported ... nowhere.
So I checked it out by going straight to the source—Greenspan himself.
To my surprise, he neither denied nor especially tried to walk back any of the comments after I sent him Merk's blog, which could be described fairly as an incredulous reaction and analysis. Greenspan emphasized that Merk's interpretation belonged to him, only taking issue with the context of the comments on Fed independence.