Soros: Worst Market Crisis In 60 Years

Financial Times:

The current financial crisis was precipitated by a bubble in the US housing market. In some ways it resembles other crises that have occurred since the end of the second world war at intervals ranging from four to 10 years.

However, there is a profound difference: the current crisis marks the end of an era of credit expansion based on the dollar as the international reserve currency. The periodic crises were part of a larger boom-bust process. The current crisis is the culmination of a super-boom that has lasted for more than 60 years.

Read the whole story: Financial Times

Comments

[mrcontinental]

06:14 PM on 01/26/2008

For you Soros worshippers. He had a huge hand it the economic mess we are in now:

http://www.jahrbuch2000.studien-von-zeitfragen.net/Weltfinanz/Hedge_Funds/hedge_funds.html

Some of us keep track of history and Soros does not get a free pass.

[loki]

01:58 AM on 01/26/2008

One thing really bothers me about Sorros. Its when he had his falling out with Bush back around 02-03. He was on , I think it was Cspan? and said that he knows that Bush is trying to accomplish, and he agrees with it, but not the radical , expedient way in which he is doing it. He never elaborated on just what It is. I assume its making the US into a low wage, no rules slave labor country for corporations. At least that appears to be the direction we are heading now at full steam.
So I assume from what George Sorros said,that he agrees that it should be done, just not as fast as Bush is pushing it.

[Tellmethetruth]

11:50 PM on 01/25/2008

2008 - 60 years = 1948. Soros isn't talking about the Great Depression of 1928 - 80 years ago, but what happened to Europes' economy after World War II - the banking system in Europe collapsed, in England everyone lost their savings. Churchill was voted out after this happened.

It is the kind of recession that follows war, not the kind of depression that created the war Soros is talking about.

In the US - America prospered after the war, but Europe went into a dive, which is why we had the Marshall Plan to rebuild Europe.

Who is the victor now who will rebuild the US, Europe, and the rest of the world's economy? The Arab world, like Dubai and the United Arab Emerits who have been making a fortune off the war and off the rise of oil. What else will they spend their money on, but buying up more of Europe and the US's economies.

[larry278]

10:36 PM on 01/25/2008

FT is again breathing down WSJ's neck in order to become America's #1 business/economics paper & also become America's business/economics newspaper of record. It must be part of his Murdochships plan to destroy the NYT to forfeit WSJ's place as a business/economics paper to become a general interest paper. Isn't it?

[Jackalheadedgod]

07:30 PM on 01/25/2008

Let me refer you to Alexander Cockburn's piece in this week's The Nation, which talks about Moody's, the bond rating agency as lower Manhattan terrorist. Very interesting and somewhat related to this article.

[johnnyjust]

04:31 PM on 01/25/2008

I never take financial advice from a liberal.

[robinhood1]

03:09 PM on 01/25/2008

Whatever happened to gay marriage, abortion and flag burning? Where is Congresswoman Marilyn Musgrave when we really need her to distract the American public? How would you have time to think about the bills you can't pay if you were thinking about the two lesbians living together next door? We're getting exactly what we deserve. Enjoy your rebate, if and when you get it. Your kids will deal with the economic mess in a few years.

[MikeDu]

02:56 PM on 01/25/2008

The industrial jobs have all been shipped overseas, the service jobs are following. All the big firm owners seem to be foreigners. The new hot markets are in other countries. Nobody's taking engineering courses in our colleges except foreign students. Reminds me of Esau who sold his birthright to jacob for a hot lunch. Who imagined it would be a GOOD idea in the long term to export our jobs, sell our assets, then dive into a bottomless pit of debt? Who thought ANY good could possibly come of it? Any economic rebound we see will only be postponing the inevitable. Like an airplane we're in the process of stalling, spinning, crashing.

[Prowler]

11:22 AM on 01/25/2008

I don't know much about economics but have been fascinated by it ever since reading about the first time recently that the Fed flooded some money into the banking system. So I don't know if what I'm going to say makes sense.

Is it possible that this was the plan all along? Soros at the end of his article mentions that the world won't be very effected and that China and India as well as some of the oil producing nations will be all right. It's just us that is screwed. Could it be that all they've really given a shit about for some time now is the emerging markets and that looting our treasury and sinking our dollar and lowering our standard of living fits into some kind of plan of theirs?

[studlyguy]

10:40 AM on 01/25/2008

don't worry with these interest rate cuts ,inflation will eat whatever pittance this rebate this government throws out, it will stimulate nothing except oil companies profits cause thats where it wil go,with job layoffs and credit and housing crises no one is going to be looking to buy a house let alone anything else ,there just trying to put a bandaid on gapping wound trying to dump the inevitable economic hurricane that is already hitting into the next guy in office lap, but it won't succeed

[mrcontinental]

10:35 AM on 01/25/2008

An excellent article and representation of the current "credit crisis". George has some dirt on his hands but he certainly knows his shit.

[realitytrumpsbull]

01:56 AM on 01/25/2008

Well George, I guess you'd know all about it if anyone really did, after all, you helped hype up all of this, didn't you?


I just wonder if we're going to be down to empty soup cans as currency when all these people get done with it...

[Advocate123]

01:31 AM on 01/25/2008

If that is the case, we get to attribute both to big government stupidity.