Man Who Predicted 2008 Financial Crisis Says...

... Today's Sell-off Is 'Just The Next Stage'

by Noel Sheppard - May 6th, 2010 - NewsBusters

The man who predicted the bursting of the housing bubble as well as 2008's economic collapse says that what happened in the markets around the world today is just the next stage in the financial crisis.

"The first stage was this massive re-leveraging of the private sector that led to the financial crisis [of 2008] and which has responded now with a massive re-leveraging of public sectors with budget deficits of the order of 10 percent," Nouriel Roubini [aka Dr. Doom] told CNBC's Maria Bartiromo.

"So I think that the markets are realizing that we have socialized a lot of the private losses with unsustainable fiscal deficits."

As pessimistic as I have become, I pray that both Nouriel Roubini and I are both wrong. Yet I can see nothing that would indicate we are. Until America and Americans become committed once again to the idea of individual freedom, and individual responsibility, we are looking at one of those frequent periods in man's existence when life is going to be very very tough for the average man on the street.