Daily Real Estate News  |  November 6, 2007  |   Greenspan: High U.S. Housing Inventory Key Global Issue
Former U.S. Federal Reserve Chairman Alan Greenspan told Tokyo businessmen that the most important global financial issue is reducing the excess home inventory in the United States.

"The critical issue on the whole subprime, and by extension, the international financial system, rests very narrowly on getting rid of probably 200,000-300,000 excess units in inventory," he said, speaking via video conference.

Greenspan also said he was concerned that the global economy is moving into an inflationary phase. "I'm concerned that we were moving from this 20 to 18 year disinflationary period and beginning to move in the other direction," he said.

Source: Dow Jones International News (11/05/07)