Nevada Senator says he’ll vote against Greenspan | NevadaAppeal.com

Nevada Senator says he’ll vote against Greenspan

Associated Press

LAS VEGAS – Sen. Harry Reid says he doesn’t buy the idea that Alan Greenspan is responsible for the nation’s booming economy.

Reid, D-Nev., says he will vote against confirming Greenspan to a fourth term as chairman of the Federal Reserve Board.

Greenspan has been given too much credit for the nation’s vibrant economy, Reid believes. And he contends the Fed chairman operates the board under a veil of secrecy.

Reid said he will seek other senators to oppose Greenspan, but expects to get only about 10 votes. When Greenspan was last confirmed in 1996, Reid and six others voted against him.

The Senate Banking Committee has scheduled a hearing this week on Greenspan’s nomination, amid expectations the Senate easily will approve him for an additional four years as chairman.

Sen. Richard Bryan, D-Nev., a banking committee member, will participate in the hearings, according to a spokesman. Bryan voted for Greenspan in 1996.

Greenspan, who has been Fed chairman since 1988, oversees the government’s monetary policies.

Reid believe Greenspan gets too much credit.

”The fact is, the economy has been on fire because of the work that Congress and the president has done” to control spending, Reid said. He said some credit is also due former Treasury Secretary Robert Rubin.

Earlier this month, President Clinton renominated Greenspan, 73, to a fourth four-year term. Greenspan has been credited with developing policies that have resulted in low inflation, high employment and strong economic growth the past eight years.

In 1996, Reid and Sen. Byron Dorgan, D-N.D., sought a study by the General Accounting Office that raised issues about financial management within the banking system and the generous travel polices and salaries of its employees.