Former Federal Reserve Chairman Alan Greenspan said Congress should let the Bush-era tax cuts expire at the end of this year in order to boost revenue and narrow the federal deficit.

"They should follow the law and let them lapse," Greenspan said in an interview with Bloomberg Television.

Greenspan, 84, also said that the U.S. economy is in "a temporary slump" and would post "sluggish" growth of 3% in the second half of the year. He said that the recent financial reform bill would reduce credit available to low-income borrowers.



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