May 16th, 2014
12:45 PM ET

Geithner: Financial crisis strategy was 'dramatically different'

Fareed speaks with former U.S. Treasury Secretary Tim Geithner about criticism of the Obama administration's response to the financial crisis. Watch the full interview on "Fareed Zakaria GPS," this Sunday at 10 a.m. and 1 p.m. ET on CNN

So critics would say that this is the weakest recovery since the Great Depression, so in 60 or 70 years. That much of that weakness has to do, The Wall Street Journal editorializes often, because of all the burdens that the Obama administration has put on it – regulatory burdens from Obamacare, from Dodd-Frank, the re-regulation of the financial industry. What do you say to them?

I've been exposed to that view and it’s true that we definitely brought some substantial changes to the economics of the financial system. And those were disruptive and they definitely changed the economics of it.

But that was a necessary, just thing to do. And this recovery, if you look at our experience against the record of the last hundred years of recoveries following bad finance crises is it's a moderate recovery. But it looks pretty good in relative terms.

And if you look at the American economy today, you're going to see a gradually strengthening economy, and we should see not just unemployment fall further, but we should see income growth improve for a broader fraction of Americans.  And that's again, I believe, because we adopted a dramatically different strategy into our crisis than had been the pattern of governments really across decades and decades.

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Topics: Economy • GPS Show

soundoff (6 Responses)
  1. chri§§y

    WHAT was this "dramatic different strategy?"??? The shut down of the government??? Yea that was different.... big deal!

    May 16, 2014 at 4:03 pm |
  2. The ENTIRE GOP PLATFORM in a single paragraph

    The GOP Prayer/Mantra/Solution: Dear God...With your loving kindness, help us to turn all the Old, Sick, Poor, Non-white, Non-christian, Female, and Gay people into slaves. Then, with your guidance and compassion, we will whip them until they are Young, Healthy, Rich, White, Christian, Male, and Straight. Or until they are dead. God...Grant us the knowledge to then turn them into Soylent Green to feed the military during the next "unfunded/off-the-books" war. God...Give us the strength during our speeches to repeatedly yell........TAX CUTS FOR THE RICH!!!..........and........GET RID OF SS AND MEDICARE!!!
    In your name we prey (purposely misspelled, or is it?)........Amen

    May 16, 2014 at 4:29 pm |
  3. John Smith

    America is the root of all terror. America has invaded sixty countries since world war 2.
    In 1953 America overthrow Iran's democratic government Mohammad Mosaddegh and installed a brutal dictator Shah. America helped Shah of Iran to establish secret police and killed thousands of Iranian people.
    During Iran-Iraq war evil America supported Suddam Hossain and killed millions of Iranian people. In 1989, America, is the only country ever, shot down Iran's civilian air plane, killing 290 people.
    In 2003,America invaded Iraq and killed 1,000,000+ innocent Iraqi people and 4,000,000+ Iraqi people were displaced.
    Now America is a failed state with huge debt. Its debt will be 22 trillion by 2015.

    May 16, 2014 at 9:16 pm |
  4. steve reed

    Interview with Geithner was a missed opportunity. Yes, save the BANKS , but missing was any discussion of why bankers have not been held accountable, and why dark derivatives have been allowed to continue.

    May 18, 2014 at 9:09 pm |
  5. chri§§y

    Aint that the million dollar question @ steve. And an even better one would be, why were they not required to pay it back like the auto companies?

    May 18, 2014 at 9:19 pm |
  6. mikserg

    Zakaria is nothing more than a salesperson from an Indian flee market. He pretends having knowledge in every field but in fact just tells the audience what they want to hear in order to push his merchandise through. He is not a professional journalist but is a screw in the propaganda machine.

    May 19, 2014 at 2:20 am |

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