Quotes

I was responsible for lots of things. Some good, some bad. But I'm realistic. Given what I knew at the time, could I have done better? Probably. Did I know it at the time? No.

You can have a financial system with banks making all sorts of horrible loans, but if they're well-capitalized all of the losses go to the shareholders.

[on discord in the U.S. government, 2013] Clearly the problem is within the Republican Party. If you make every issue uncompromisable, you cannot have laws.

[on dealing with the recession] Part of the way out is to slow down benefits. Very much to my surprise, benefits are crowding out savings of the society. The data are very clear in that regard.

[on how the 2008 financial debacle changed his perspective] Most basic economics up to that point was based on the presumption that human beings are rational in that they look after their long-term self-interest. My shock was that what we now call animal spirits has a certain consistency about it. In other words, you can demonstrate that fear is a far more potent emotion than euphoria or greed. That changed the whole way I look at the world.