On the heels of the U.S. attack on Syria, the man who served three U.S. presidents and was also a governor of the Federal Reserve, told King World News that what we are now witnessing is unprecedented.
Eric King: “When you look at the U.S. economy, Larry, there’s a rot that’s underneath it. John Williams of Shadowstats keeps track of the real unemployment, and when he quantifies it the way they used to in the 1980s it’s around 23%. We haven’t really seen it come off of that 23% figure yet.
Eric King continues: “There are a large number of unemployed, especially when you look at the amount of people who aren’t even trying to get work anymore. So this economy appears phony to many people. I will give you an example of what we just saw hit the newswire about the auto sector and the crashing prices in the used car market. When the 2008/2009 collapse happened, we printed all of this money and we borrowed from our future.
We then saw banks giving loans to high risk people who we knew were not going to pay back the loans. Now they are not paying back the loans and banks are having to repossess the cars and they are flooding the used car market. It gives the appearance of a fake economy, with incredibly high unemployment, and massive debt. I brought up the massive U.S. debt and liabilities earlier, Larry, but I’m trying to understand from you, how in the hell do we get out from underneath that? How do we get the ship going in the right direction when that’s the reality?”
“Jesus you can’t make a buck in this market, the country’s goin’ to hell faster than when that son of a bitch Roosevelt was in charge. Too much cheap money sloshing around the world. The worst mistake we ever made was letting Nixon get off the gold standard.”
— Lou Mannheim, Wall Street
What We Are Witnessing Is Unprecedented
Larry Lindsey: “First of all, you’re right. Basically, for the last 8 years what we’ve been doing is trying to improve the economy by simply printing money. And the balance sheet of the Federal Reserve has gone up by more than five-times. It’s gone up from $800 billion to over $4 trillion. That’s absolutely unprecedented historically.
And you’re right, the result of what we did was exactly what you said — we made money so cheap that everyone got to have a party and we didn’t think about the end of the party. All of that is true…To continue listening to the remarkable KWN audio interview with Larry Lindsey that has now been released CLICK HERE OR ON THE IMAGE BELOW.
***ALSO JUST RELEASED: Quick Look At How The US Attack On Syria Will Really Impact Markets In Coming Days, Plus Today’s Other Big Surprise CLICK HERE.
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