Greenspan: Baby Boomer promises may not be kept

[Paciente]

Greenspan: Baby Boomer promises may not be kept

WASHINGTON (AFX) -- Federal Reserve Chairman Alan Greenspan warned that the long-term federal budget picture is unlikely to improve unless Congress takes "major deficit-reducing actions." Greenspan said the impending wave of Baby Boomer retirements underlines the need for action. Greenspan, in testimony prepared for delivery to the Senate Budget Committee, said projecting future Social Security costs is relatively simple, but that the uncertainty about future medical spending is daunting. "I fear that we may have already committed more physical resourcs to the baby-boom generation in its retirement years than our economy has the capacity to deliver," he said.