Boomers as Retail Clerks Shows Why Greenspan Saw Low Growth Era

During his final policy-making meeting as chairman of the Federal Reserve Board, Alan Greenspan glimpsed a force potent enough to trump the law of supply and demand in the world’s largest economy.

Greenspan had said for months that increases in government borrowing would drive up interest rates on bonds maturing in 10 years and beyond. Instead, rates declined. And Greenspan said he thought he knew why: The world’s growing, graying masses were rewriting the rules for both markets and economies.