paul volcker has advised me of his decision not to accept a third term as a member and chairman of theeral reserve board. i accepted mr. volcker's decision with great reluctance and regret. it's my intention to nominate dr. alan greenspan to a four-year term as chairman of the federal reserve. schoumacher: on his first day in office, chairman greenspan revealed his wish list -- a dollar which is always stable, interest rates which stay low, and employment which stays high. schoumacher: his first action as chairman of the board of governors was to reaffirm volcker's tight money policy, a long-range policy that most economists believed was crucial to maintaining orderly economic growth. but if there was one sector of the economy that was far from orderly in 1987, it was the stock market. 40. asia, 784. schoumacher: greenspan feared a collapse. but what could the fed do? securities analyst roger kubarych. when chairman greenspan came in office in august, one of the first things he did was to launch a series of studies -- call them war games if you like -- that did include both the board s

i think he, along with paul volcker on the public sector side were major mentors of mine.i think it's fair to say you have seen that walter was the greatest banker of his age. that's what city is going back to at this point in time. we have a lot of former citi wangers in the audience that agree with me. but as far as -- and, you know, working with walter, he's someone that got me involved in all of this stuff, and john reid, later on, were both, i think, significant world financial leaders. as far as having talked with a lot of people, i think meeting mandela, having dealt with a number of cases, spent an hour in 1980 with castro. he wanted my advice in how to structure the cuban debt. he said we can speak to you because we nationalized the foreign banks and you offset on the reserve. we are kind of even here. this was in nicaragua was running the -- who is back again running nicaragua put us together. and certainly fascinating there. i can run through so many people. i had to one of the session with mandela, i was asked to tell, the then president of zimbabwe that he use

my predecessor paul volcker explained the only contribution financial industry is the automatic teller machine. i don't know the answer. a much bigger sector can be defined by the wider range of services globalized financial economic system that we have put the exact number i cannot really say. >> i have a follow-up question. do you think it was appropriate or fair to impose the bank deposits in cyprus, even those insured by the european union? thank you. >> have not been involved in those conversations i don't necessarily know the details. they are grappling with a very difficult problem. i think the issue they face is that there is a pretty big hole, financial hole, in a sense there is a fiscal issue and there is a bank restructuring capitalization issue. they are looking for resources where they can find them. i think everybody understands there are certain risks with that besides the equity issue of lower income people. there is the issue of setting a precedence that might reduce confidence in banks in subsequent times. but that being said, it is a very tough issue, and finding the

. >> coming up, former federal reserve chairman paul volcker and congressional office director speak at the association. that is followed by the second installment of c-span's first ladies. >> former federal reserve chairman paul mercker -- paul volcker said it would be difficult for the federal reserve to end its economic growth program. he'll service funded to criticism of the volcker rule, restricting certain kinds of trading at banks with government insured deposits. his comments came at the national association for business economics. this is 40 minutes. [applause] >> thank you, mr. president, fellow honorees, old members, new members, guests, all economists, i assume. [laughter]this is a very well- organized affair. a wholesome introduction was long enough to convince me to eat a chicken. this is a real special privilege and honor to be here. after all the years that i have been around concerning economic policy, i assume one major altercation for this award is that it is a lifetime award. you have to be at least 80 to receive it. it is now a competition a bit. [laughter] but i

so the lessons that paul volcker taught us haven't been lost.they want to snake sure we don't flip into a deflation situation. i think that's why there is an explicit 2% goal because japan, unfortunately, slipped into deflation and never credibly got out of it. now with the new central bank -- >> so in effect, we have to tax the people of 2, 2.5% a year because inflation is a tax, right? >> inflation is down below that level. >> but they want to bring it up to 2, 2.5, so that's a hidden tax, right? >> the goal -- >> is it a tax? >> the goal is to get close to 2%. certainly, depending on how you set your investments up. it could be something that you can lose. >> all right. i've got to leave it there. we can debate that. inflationnary tax. randy kroszner, thank you. bottom line, easy money from the feds. now, we do have the results from the latest cnbc fed survey. and this is interesting. they show why the majority of the respondents believe something other than the fed is actually responsible for this recent stock market run-up. this has been a

i think that my predecessor, paul volcker's claim, that the only contribution to the financial industry is the automatic teller machine, might be a little exaggerated. i know that some people have that view. but, again, i don't know the answer. i think a somewhat bigger financial sector can be justified by the wider range of services and the more globalized financial and economic system that we have, but the exact number, i can't really say. >> hi, i'm jeremy. i have a follow-up question on cyprus. as a central banker, do you think it was either appropriate or fair to impose a levy on every bank deposit in cyprus, even those insured by the european union itself? thank you. >> well, i've not been involved in those conversations and i don't necessarily know of the details. so i know they're grappling with a very difficult problem. i think the issue they face is, that there's a pretty big hole, a financial hole in the sense that there is a fiscal issue and there's also a bank restructuring, recapitalization issue. so, they're looking for resources where they can find them. i think everybod

then markets rebelled and interest rates went up and up and up, and then came paul volcker, with the most draconian policy to put things right, with terrific attention to human suffering. it seems to me something like that will happen now. markets are enthralled to these central bankers. it's astonishing after so many years of demonstrated human error on the part of these mandarins, people still seemingly trust them. but they do, for now. they won't always. >> well, we'll be watching that. you hope it doesn't end as badly, but certainly, we've got history on that side. jim, good to have you on the program. >> thank you, maria. >> thank you for your brackets and your analogy to march madness. >>> up next, nike is named after the greek goddess of victory. do they have victorious earnings? >> the top line came in a little bit light at 6.19 billion. the estimate has been for over 6.2 billion, about 6.23. part of the reason they did see their revenues up 9% in every geographic area except for greater china and japan. they said every category except sportswear and action sports. their gros

i think he, along with paul volcker on the public sector side were major mentors of mine. i think it's fair to say you have seen that walter was the greatest banker of his age. that's what city is going back to at this point in time. we have a lot of former citi wangers in the audience that agree with me. but as far as -- and, you know, working with walter, he's someone that got me involved in all of this stuff, and john reid, later on, were both, i think, significant world financial leaders. as far as having talked with a lot of people, i think meeting mandela, having dealt with a number of cases, spent an hour in 1980 with castro. he wanted my advice in how to structure the cuban debt. he said we can speak to you because we nationalized the foreign banks and you offset on the reserve. we are kind of even here. this was in nicaragua was running the -- who is back again running nicaragua put us together. and certainly fascinating there. i can run through so many people. i had to one of the session with mandela, i was asked to tell, the then president of zimbabwe that he us

that is followed by paul volcker and cbo director at the national association of business economics annual conference. >> she would grow to be the equal of john advance as confidante and dearest friend. she revealed herself as an 18th- century woman, but her concerns sound very modern to us today. >> john and abigail adams have become so prominent because of these collection of papers. >> the story of abigail adams and the revolutionary war is the story of sacrifice, commitment to country. she rose to the occasion. >> she was opposed to slavery. >> she was quiet behind-the- scenes spread sheet you cannot rule without including what women want. >> the backdrop to the occupancy of the white house is one of political -- personal tragedy. >> she is worried about her husband and offenses against slander. she is concerned about her children, their upbringing, their education. >> she could hold her own with anybody. she was her husband's equal. >> born in 1744, at the dell smith married john adams at age 19. they had five children together, including a future president. ahead of her time in many

we will hear from paul volcker. they will check in on capitol hill, at the house is scheduled to return in about an hour, 5:00 eastern. we will have live coverage here on c-span. the house is expected to work on a bill to fund the federal government for the rest of the fiscal year. the house appropriations committee chairman introduced a bill continuing resolution that would fund the federal government through september. he released a statement that said "this bill would fund essential federal programs and help maintain our national security and take a potential shut down off the table. this package is the right thing to do and the right time to do it." the ranking democrat says -- we will continue to bring you updates on the legislation as they become available. >> i was fascinated by her feminist view. she warned her husband. you cannot rule without including what women want and what women have to contribute. this is 1700's. >> either gail adams, tonight on the new history series -- abigail adams, tonight on the n

economy from a vice chair of the federal reserve and janet yellen, a former federal reserve chairman paul volckerand douglas on the north. -- elmendorf. on monday, the three people to serve as homeland security secretary marked the 10th anniversary of the agency. immigration and the impact of sequestration were the main topics at this event with tom ridge, michael chertoff, and current secretary janet napolitano. there were interviewed by mike allan from politico. this is an hour. -- mike allen from politico. this is an hour. [applause] >> governor ridge, welcome. instead of our three tenors, we had three secretaries. i appreciate you all coming together for this. secretary in the pala tunnel, -- napolitano, we will start with you, make some news this morning. everybody in washington is very concerned about the sequester. it has landed. you said you're already seeing defects at psa. -- at tsa. >> as i shared with the congress, now that we are having to reduce or eliminate overtime, both for tsa and customs, now that we have institutionalized a hiring freeze, we cannot fill vacancies, and we will