Greenspan warns of danger caused by "crazies" in US politics

The former chairman of the US Federal Reserve Alan Greenspan is afraid that "crazies" will undermine the country's economic and political standing.

Speaking at a conference in Washington sponsored by Stanford University and the University of Chicago, Greenspan did not explicitly mention who he was referring to with the comment.

He was chair of the US Fed between 1987 and 2006, overseeing a long period of economic prosperity for the country that was immediately succeeded by a global financial crisis in 2008.

Greenspan predicted a bleak future for the US economy, citing a period of high inflation and unemployment coupled with stagnant demand as being imminent.

"I hope we can all find a way out because this is too great a country to be undermined, by how should I say it, crazies," Greenspan said.

"It is the worst economic and political environment that I’ve ever been remotely related to. Politically, I haven’t a clue how this comes out."

The US faces a key decision in November as two of the most unpopular candidates for president battle it out for the White House. Donald Trump has been criticised for inconsistent and extreme policies, while Democrat rival Hillary Clinton continues to face allegations of a lack of transparency in her campaign.

Clinton still leads Trump in the majority of polls, but the gap has been narrowing in recent weeks as both candidates struggle to deflect questions about their health.