Greenspan Sticks to Script

In his typical understatement, Greenspan said the Social Security and Medicare programs "threaten to strain the resources of the working-age population in the years ahead. Longer-term problems, if not addressed, could begin to affect longer-dated debt issues."

And although he endorsed generally the creation of private accounts that could be invested in stocks, he pointedly rejected calls to move as quickly as possible.

"If you are going to move to private accounts, which I approve of, you have to do it in a cautious, gradual way," Greenspan said during Q&A. "I think it's a good thing to do over the longer run [but] all in all, I'm glad we're going to move slowly and test the waters."