Ron Paul predicts 15-year depression

[marmar]

from the Financial Times:



Believer in small government predicts 15-year depression
By Phil Davis

Published: March 22 2009 09:07 | Last updated: March 22 2009 09:07


Pension trustees and insurance company portfolio managers look away now. Your increased commitment to government bond holdings in recent times is about to blow up spectacularly.

At least, that is the view of Ron Paul, the US congressman who ran against John McCain in last year’s Republican Party presidential nomination.

His is a minority view. Yields on government bonds worldwide have been falling fast over the past few months and in the UK, the commencement of “quantitative easing” this month sent bond prices soaring.

But the credibility of both western governments and their currencies is waning, and has been ever since the gold standard was abandoned in 1971, says Mr Paul. And that means even “safe” investments are far from safe, he claims.

“People will start to abandon the dollar as current and past economic policies create a steep rise in interest rates,” Mr Paul says.

“If you are in Treasuries, you will need to be watchful and nimble to time your escape.”

Unfortunately, cashing out will not protect the value of investments, he insists, because “fiat” currencies will all decline over the coming years as measures to try to haul the world economy out of recession fail. “The current stimulus measures are making things a lot worse,” says Mr Paul. ...........(more)

The complete piece is at: http://www.ft.com/cms/s/0/ee3e07f0-16b2-11de-9a72-0000779fd2ac.html

[wyldwolf]

1. and to think some DUers actually like(ed) this clown

[ShortnFiery]

2. Ron Paul is correct. It's going to be the worst of the worst. But fear not, the ultra wealthy will

be "all safe" on their private islands or gated communities as the rest of us live a National Version of "Escape from New York." :(

[jobycom]

3. That's nice, Ron. Now let the grown ups talk for a while.

He may even be right, but it won't be his fault if he is.

[SemiCharmedQuark]

4. Why would anyone care what this nut says? His economic policies are absolutely awful.

[Lex]

5. whatever the opposite of that is

is what will probably happen

[Skidmore]

6. Ron Paul, prophet of free falling free marketering. Look, ma,

no hands. No strings attached. If Ron Paul had been in charge, we'd have crashed long ago and all be living in tent cities and begging for a living.

[izquierdista]

17. But we would have freedom

The government couldn't tell us WHICH tent city to live in! :silly:

[YOY]

7. If the opposite happens (possible or not)

Can we officially tell Ron Paul to fuck off?

[Ian David]

8. I was worried for a second. I thought you said Rue Paul.

Who cares what Ron Paul thinks.

[KamaAina]

9. Awesome!

That means we've already hit bottom. :P

[Donnachaidh]

10. He's probably thinking he'll have a chance at the White House now.

Loopy Bircher. :grr:

[PVnRT]

11. If Ron Paul ran this country, it would be third-world within 2 years

[NoGOPZone]

12. I predict Paul won't be elected President once, let alone four times nt

[enki23]

13. please, mr paul, please nail us up on the cross of gold

.

[Blue_Tires]

14. Good old Ron Paul -- still pimping that age-old gold standard RW wet dream

He has more in common with Larouche than any of his Paultard chemtrail-chasing, one-world-zionist-government fighting, microchip-in-the-hand conspiracy-loving minions would ever admit...

[dkofos]

15. Being the economic lightweight he is, I will just ignore him on this subject too.

[Tierra_y_Libertad]

16. Except for the idiocy about gold, he's right.

When the treasury bubble bursts it's going to cause devastation. And, it's certainly not just Paul warning about this.

[GreenTea]

18. And what would it be if repubblican asshole Ron Paul were prez?

He votes with republicans against the Dems on every vote...he's fucking hype, a liar and a grandstanding fool...not to mention a slimy right-wing republican asshole!!

[FLAprogressive]

19. ok now goldbug....back to the kiddies' table with your libertarian friends.

[SoCalDem]

20. A safe bet.. That's about how long many of the "early to mid" Boomers will live

Had they (we) been allowed to keep our life's earnings and spend them down, we would still mostly be gone anyway within 15 years..creating the "pressure" on the economy, as we drew down, instead of continuing to pay into... once gone, our medfial & retirement needs over, the lack of us could create a "cheaper" economy in which to reside..

but in any event, having our "worth" stolen at just the precise time we started to need it, allows the next phase of boomlets to build up a new batch of moolah..(available for skimming in about 15 years ).. rinse & repeat..

[Blue_Tires]

21. ttt