Five term Fed Chair Alan Greenspan sits down with CNBC's "Squawk on the Street" to talk about market volatility, the economy, and the Fed.
When asked if the Fed should be paying closer attention to the message in the markets right now, regarding growth and inflation, Greenspan said, "I don't think the Fed is watching statistics."
He said that,"Monetary policy is interesting but not relevant towards longer term or even intermediate."
According to Greenspan, issue of entitlement is rising with the population. He expects lesser growth in productivity and low gross domestic product (GDP).
Greenspan believes that the Fed is doing fine with regards to rates.
"Fiscal policy is a critical issue; monetary policy is not at this stage. At some points it’s critical but this is not one of them", he said.