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January 18, 2013

In Exit Interview, Geithner Muses on Crisis Era

In a half-hour interview with The Wall Street Journal in his final days as Treasury secretary, Timothy Geithner reflected on the financial crisis and the response he helped craft. Among other things, he said, the government’s rescue of the financial system was doomed to be unpopular.

“You look like you’re giving aid to the arsonist,” he said. But he predicted history would judge the efforts to be both effective and much less costly to taxpayers than initially anticipated.

Using a basketball metaphor, Mr. Geithner said the U.S. in the fourth quarter of its recovery from the crisis, but Europe is only in the second quarter. And he cautioned that the U.S. “can’t count indefinitely on the world having more confidence in our political system than is justified.””


Read full Wall Street Journal article here

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