Greenspan's suggestion for fixing the housing glut

[I D Shukhov]

Greenspan provided a list of reasons for increasing competition in the skilled labor force. In particular, he said it would help fix a problem -- the   housing bubble -- that grew during his tenure as Fed chair, a position he held from 1987 to 2006.

   

Skilled workers from overseas "will, out of necessity, move into vacant housing units; the current glut of which is depressing prices of American   homes," said Greenspan. In 2005, Greenspan characterized rising housing prices as "froth."

http://www.computerworld.com/s/article/9132438/Greenspan_H_1B_cap_would_make_U.S._workers_privileged_elite_

[Richardk]

He also believes:

The views cited by Greenspan are in sharp dispute.   H-1B opponents say that there is no skills shortage and that the H-1B visa has been used to reduce wages, especially by replacing older workers with younger   workers from overseas. One recent study found that H-1B workers are depressing wages for some occupations,   including programmers.

Then he goes on to partly blame the school system for this shortage, as if kids are dumb. I can see it now, "I'll grow up just like dad, go to school, get a job and be laid off just as I'm hitting my prime. Yeah, that's what I'm going to do."

I agree that fixing the housing market will help the economy but even if we did this, is anyone hiring in great enough numbers to impact the economy?

[I D Shukhov]

Greenspan needs to take responsibility for his part in creating the housing bubble, which wrecked the economy.  He saw what was happening with interest rates and the runaway housing market and dismissed it saying that it was no big deal (the "fluff" quoted in the article).

Now, in order to fix his mistake, he wants to move people from other countries into the houses that have been vacated by people who have lost their jobs because of the crisis which he induced.  I don't suppose anyone listens to him anymore, but who knows?

[Origisaurus]

And without reading the article in depth.

Greenspan assumes that there are jobs just waiting for those "highly skilled Elbonians" - who live right down the road from Bilbo Baggins.

Well, I never had much respect for his intelligence, and this doesn't change things.

[TRexx]

Greenspan assumes that there are jobs just waiting for those "highly skilled Elbonians" - who live right down the road from Bilbo   Baggins.

He is right. There are plenty of jobs waiting. And just like every other proponent of importing labor, legal or otherwise,  he omits one key phrase

"at lower wages."