Buckle up, the world is headed to a global recession
Recent Nobel Prize winner, Paul Krugman and other economists recon that world is headed to a global recession. The amount of money pumped by central banks to stable the financial markets is a mind-boggling, number crunching in excess of US$ 2 trillion (billion is obsolete these days!)
Emerging economies will be worst hit, as spending across the globe will be cautious. If US does shit, it pollutes all. So what is the cause? The sub-prime mortgage crisis which first hit last year, or was it greed, as all financial institutions reported inflated profits, CEOs taking million in stocks, signing fees and bonuses. Investor confidence is pretty low despite the bailout plans, it just shows that the current financial markets were euphoria, figures created to please, to create jobs, profits, and for the Bretton-Woods institutes to tell us that the global economy is growing.
- Posted in: Global Affairs