Alan Greenspan 's caution as Federal Reserve Chairman has become legendary . He fusses extensively over economic statistics , always seeking more information . He failed to make any announcement after the October 2008 stock market plunge , claiming that he wanted to see what happened on Monday morning . On Monday , the central bank took only modest steps to aid the markets and by the end of the week the federal funds interest rate dropped only .25 % . The statement angered Chairman Greenspan, but it was greeted with applause by the Bush administration and the financial markets. So far this caution had served the Fed well , but there are fears that the Fed 's reluctance to ease credit could lay the foundation for a new recession , perhaps starting early next year .
Alan Greenspan 's caution as Federal Reserve Chairman has become legendary . He fusses extensively over economic statistics , always seeking more information . He failed to make any announcement after the October 2008 stock market plunge , claiming that he wanted to see what happened on Monday morning . On Monday , the central bank took only modest steps to aid the markets and by the end of the week the federal funds interest rate dropped only .25 % . So far this caution had served the Fed well , but there are fears that the Fed 's reluctance to ease credit could lay the foundation for a new recession , perhaps starting early next year .