11 top economists agree: Our World of Debt is on the Edge of CollapseSource - NaturalNews.com
A collection of nearly one dozen of the world's top economists and other geopolitical observers believe that the world is close to financial collapse, because so much of what passes for "the global economy" is built on false or otherwise conjured pretenses.
As collected by Michael Snyder, founder of The Economic Collapse Blog, here are what 11 experts are saying about geopolitical conditions the world over:
Bill Fleckenstein, president of Fleckenstein Capital:
They are trying to make the stock market go up and drag the economy along with it. It's not going to work. There's going to be a big accident. When people realize that it's all a charade, the dollar will tank, the stock market will tank, and hopefully bond markets will tank. Gold will rally in that period of time because it's done what it's done because people have assumed complete infallibility on the part of the central bankers.
John Ficenec, Questor editor at The Telegraph:
In the US, Professor Robert Shiller's cyclically adjusted price earnings ratio -- or Shiller CAPE -- for the S&P 500 is currently at 27.2, some 64pc above the historic average of 16.6. On only three occasions since 1882 has it been higher - in 1929, 2000 and 2007.
Ambrose Evans-Prichard, economics analyst at The Telegraph:
The eurozone will be in deflation by February, forlornly trying to ignite its damp wood by rubbing stones. Real interest rates will ratchet higher. The debt load will continue to rise at a faster pace than nominal GDP across Club Med. The region will sink deeper into a compound interest trap
The Jerome Levy Forecasting Center, which correctly predicted the bursting of the subprime mortgage bubble in 2007:
Clearly the direction of most of the recent global economic news suggests movement toward a 2015 downturn.
Paul Craig Roberts:
At any time the Western house of cards could collapse. It (the financial system) is a house of cards. There are no economic fundamentals that support stock prices -- the Dow Jones. There are no economic fundamentals that support the strong dollar...
I have the same kind of feel in '98 and '99; also '05 and '06. This is going to end badly. I have every confidence in the world.
Liz Capo McCormack and Suzanne Walker:
Get ready for a disastrous year for U.S. government bonds. That's the message forecasters on Wall Street are sending.
Phoenix Capital Research:
Just about everything will be hit as well. Most of the 'recovery' of the last five years has been fueled by cheap borrowed Dollars. Now that the US Dollar has broken out of a multi-year range, you're going to see more and more 'risk assets' (read: projects or investments fueled by borrowed Dollars) blow up. Oil is just the beginning, not a standalone story.
If things really pick up steam, there's over $9 TRILLION worth of potential explosions waiting in the wings. Imagine if the entire economies of both Germany and Japan exploded and you've got a decent idea of the size of the potential impact on the financial system.
What this breakdown in the crude oil price is going to spawn another financial crisis. It will be tied to the junk debt that has been issued to finance the shale oil plays in North America. It is reported to be in the area of half a trillion dollars worth of junk debt that is held largely on the books of large financial institutions in the western world. When these bonds start to fail, they will jeopardize the future of these financial institutions. I do believe that will be the signal for the Fed to come riding to the rescue with QE4. I also think QE4 is likely going to be accompanied by bank bail-ins because we all know all western world countries have adopted bail-in legislation in their most recent budgets. The financial elites are engineering the excuse for their next round of money printing . . . and they will be confiscating money out of savings accounts and pension accounts. That's what I think is coming in the very near future.
The 2008 collapse was just a dress rehearsal compared to what the world is going to face this time around. This time we have governments which are even more highly leveraged than the private sector was.
So this time the collapse will be on a scale that is many magnitudes greater than what the world witnessed in 2008.
What does the word confidence mean? Break it down. In this case confidence = con men and con game. That's all it is. So people will lose confidence in the con men because they have already shown their cards. It's a Ponzi scheme. So the con game is running out and they don't have any more cards to play.
What are they going to do? They can't raise interest rates. We saw what happened in the beginning of December when the equity markets started to unravel. So it will be a loss of confidence in the con game and the con game is soon coming to an end. That is when you are going to see panic on Wall Street and around the world.
Paul Craig Roberts – The Whole World Is Staring Down The Barrel Of A Gun As Global Collapse Looms
Source - KingWorldNews.com
In the aftermath of last week's black swan announcement by the Swiss and on the heels of the ECB's announcement that they are going to inject $1.3 trillion of stimulus into Europe's beleaguered banking system and bond market, today former U.S. Treasury official, Dr. Paul Craig Roberts, warned King World News that the whole world is staring at the barrel of a gun as global collapse looms.
Eric King: “The ECB just made the announcement that they are planning to inject $1.3 trillion in stimulus into the European banking system and bond markets. What is this really all about?”
Dr. Paul Craig Roberts: “Eric, we now have the yen being printed in vast quantities. The Fed has supposedly stopped printing the U.S. dollar but it really hasn’t because during the period of quantitative easing the banks received $2.6 trillion. All that money is available and will continue to be used to buy bonds. Of course the Fed itself has $4.5 trillion on its balance sheet and as it receives interest payments it will also continue to buy bonds.
So you have quantitative easing in Japan, in the United States, and now we have it once again in Europe. So the three large currencies — yen, dollar, and euro — are being created at an alarming rate….
“The effect of this is that it forces other countries to print money so that their own currencies don’t soar in value relative to the yen, dollar, and euro, which would undermine their export markets and economies. One country has already broken ranks from these insane policies. The Swiss realized that they could not possibly keep the peg intact, so they abandoned that last week in the announcement that shocked the world.
Whole World Staring Down The Barrel Of A Gun
So we have a situation where the United States, the EU, and Japan have the whole world staring down the barrel of a gun. They are forcing inflation on the entire world. You have to ask yourself: Why do the United States, Japan, and the EU have a right to do this and who benefits? Well, the answer is that the elite benefit from this policy. This a way of further enriching a tiny amount of people at the expense of everybody else in the world. This is all about enriching the elite. That’s all this is about, and the rest of the population in the world is paying for it.”
Eric King: “Today Egon von Greyerz, the man who predicted collapse of the euro against the Swiss franc just 52 days ago, made the frightening prediction of total global collapse. Greyerz said that all of the central banks are bankrupt and that’s why the world’s financial system will not survive and a total global collapse is in front of us — your thoughts on this ominous warning from Greyerz.”
Dr. Roberts: “He is right that we are facing a global collapse. Central banks have paid 100 cents on the dollar for assets that may not even be worth one cent on the dollar. What’s also driving the world to economic collapse is the fact that the central banks are recklessly printing unprecedented amounts of fiat money to keep their global Ponzi scheme going.
So you have these unprecedented amounts of fiat paper money hanging over the global economy. This vast amount of paper money has not been matched by real economic production. It’s the implication of that horrific circumstance that will also cause the global collapse.
What would it have meant if Switzerland had continued to hold the currency peg? It would have meant the Swiss would have ended up with a much larger money supply then the entire annual Gross National Product of Switzerland. The implications of that are hard to fathom. It would have meant that there were more Swiss francs in existence than could be used to buy up all the annual goods and service produced by Switzerland.
Mega-Catastrophe To Destroy Average Citizen
And there is a complicity by the elite who are caught up in this unprecedented global money printing scheme. They are all caught up in the corruption. But at some point people will realize this is worse than a Ponzi scheme. They will realize this insane policy has the world headed for collapse.
All of this corruption is overwhelming to sensible people. So the central banks are only serving the interests of the elite and that is where the collapse will come from. There is no connection between the monetary policy in the United States, Europe, and Japan, and the people. In fact, the elite have the entire world headed for a mega-catastrophe that is sure to financially destroy the average person and send the world into total chaos.” ***ALSO JUST RELEASED: Man Who Predicted Collapse Of Euro Against Swiss Franc Makes Second Terrifying Prediction CLICK HERE.