Our leap into the unknown threatens both Europe and the world economy

Alan Greenspan is not known for his pessimism about capitalism. But even the bullish former Fed chair recognises Brexit as a major threat

Alan Greenspan has seen more than a few dicey days on global markets in his time. So it was telling when the 90-year-old former chairman of the US Federal Reserve described the market chaos sparked by Britain’s leave vote as “the worst period I recall”.

“There’s nothing like it, including the crisis – remember 19 October 1987, when the Dow went down by a record amount of 23%? That I thought was the bottom of all potential problems. This has a corrosive effect that will not go away,” Greenspan told the broadcaster CNBC.

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Read the original at Economics | The Guardian.