End of an Era: Free Market Orthodoxy Is No Longer Ascendant

Agree or not, the following exchange signals the end of a 28-year era of American politics in which free market orthodoxy defined the terms of domestic debate:

“You had the authority to prevent irresponsible lending practices that led to the subprime mortgage crisis. You were advised to do so by many others,” said Representative Henry A. Waxman of California, chairman of the committee. “Do you feel that your ideology pushed you to make decisions that you wish you had not made?”

Mr. Greenspan conceded: “Yes, I’ve found a flaw. I don’t know how significant or permanent it is. But I’ve been very distressed by that fact.”

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