The autobiography of Alan Greenspan, the former chairman of the Federal Reserve (The Age of Turbulence, 2007) reads like a bible of free market fundamentalism or neoliberal economics (as little government interference as possible, markets can regulate themselves !). There is frequent reference to Adam Smith’s wisdom. According to press reports and TV interviews, Greenspan has now changed his mind. He admits that he was wrong in bis belief that banks could regulate themselves.

See also:

http://blog.une.edu.au/klausrohde/2008/10/09/debunking-economics-steve-keen/

http://blog.une.edu.au/klausrohde/2008/10/06/nonequilibrium-in-economy-george-sorosthe-new-paradigm-for-financial-markets/

and my knol article

http://knol.google.com/k/klaus-rohde/free-markets-and-free-trade-ecology-and/xk923bc3gp4/25#

Nevertheless, I cannot suppress a feeling of admiration for somebody who’s entire life’s work was based on a deeply ingrained belief which he has now, at the age of over 80, thrown overboard. Let’s hope that many others, far younger, will follow him. - On the other hand, what else could he have done? The evidence against the holy grail of  free market fundamentalism is fairly strong.

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