We’ll be WORSE OFF whoever’s new U.S. President : Jim Rogers on CNBC
About Jim Rogers
Jim Rogers is the CEO of Rogers Holdings. He is also an author, world traveller and successful international investor. He has been frequently featured in Time, The Washington Post, The New York Times, The Wall Street Journal, The Financial Times and most publications dealing with the economy or finance. After attending Yale and Oxford University, Rogers co-founded the Quantum Fund, a global investment partnership together with billionaire investor, George Soros. During the next 10 years, the portfolio gained 4200%, while the S&P 500 rose less than 47%. Rogers then decided to retire at age 37 but he did not remain idle. In 1990-1992, Rogers fulfilled his lifelong dream: motorcycling 100,000 miles across 6 continents, a feat that landed him in the Guinness Book of World Records. He chronicled that journey in his bestseller book:“Investment Biker”. In 1999-2001, Jim embarked on a Millennium Adventure, which he travelled for 1101 days on his round-the-world, Guinness World Record journey together with his wife. That journey of passing through 116 countries, through half of the world’s 30 civil wars and over 152,000 miles became the subject of Rogers’s second book: “Adventure Capitalist”. His also penned other bestsellers such as ”Hot Commodities” in 2004 and the recently released “A Bull in China”.
****************************************************************************************************
“Neither one of these guys understands what’s going on, they don’t understand currency markets, economies, they don’t understand the world,” Rogers said. “Both of them are going to cause us more problems than they’re going to solve.”
Democratic nominee Sen. Barack Obama pledged to reverse the economic failures and blamed the Republicans for the poor shape of the U.S. economy in his speech, formally accepting to run for president for his party. But Rogers said this was unlikely. “He’s talking about spending a lot of money … I don’t consider that very good, going deeper into debt. The U.S. is already the largest debtor nation in the history of the world. I’m not sure that that’s going to solve anything.”
“Deep changes are needed in the U.S. system and big Wall Street banks should not be rescued by the authorities when they run into trouble, to avoid moral hazard. They’re bailing out Wall Street, because all their friends are on Wall Street,” Rogers said. “When Ben Bernanke gets a phone call from the head of Lehman Brothers, he takes the call. But if some poor school teacher in Oklahoma calls him, he doesn’t take the call. He’s dealing with his friends on Wall Street trying to save them when in fact he should let them fail. That would be the better solution, at least for 300 million Americans.”
“The economic stimulus package launched this year to try and fend off recession in the U.S. is unlikely to have positive consequences in the long term, despite a higher-than-forecast advance of gross domestic product in the 2nd quarter”, Rogers said. “Supporting troubled investment banks instead of letting them go bust prevents a cleansing of the economy while putting additional burdens on taxpayers, but neither of the 2 candidates is likely to stop this. If you happen to be friends with whoever wins, sure, you’re going to have a better time in the next 4 years. But the rest of us, the 300 million Americans, are going to be worse off in 4 years. In fact the world will be worse off.”
Part 1
Part 2
© 2008 CNBC.com
Disclaimer: Please be informed that the above mentioned stocks/indexes/investment instruments are solely for the purpose of education; it is NOT a recommendation or an invitation to trade/invest. For trading/investment advice, please speak to your remisier, dealer representative or financial adviser. Please understand that there is risk in every trade/investment venture, know your risk first before you venture into any of them.
Loading ...-
About Me
-
Categories
-
Archives
-
Recent Posts