Jim Rogers on The Mangru Report 16 May 2010
Jim Rogers : Greece itself is a very very small player in the world economy , but if Greece goers it might mean Portugal and Spain and a few other European countries including the UK and then we have a mess on our hands at least in the financial sector , It is not the end of he world I assure you , although the people will tell you it is the end of the world , at the same time Dan since people do not know what else to do they're racing into US Dollars not that the US Dollar not a terribly flawed currency too and the US government terribly indebted entity , just because they do not know what else to do for the moment...
Europe and America are ten times the size of the Chinese economy , and the Chinese economy is three times the size of the Indian economy...so if America and Europe get into trouble , I assure you the rest of the world is going to suffer too even if China and India somehow continue to grow and prosper , they're just not big enough to offset the decline of Europe and the US ...we in the west in Europe and the US are going to have more problems whether it is this year or 2012 , I do not know what Dan , ..our problems aren't over , our bear market is not over , these problems are going to come back to haunt us and ti hurt us either this year next year the year after , sometime in the foreseeable future....
What to do with your money ..? as far as I can see the best place to have your money is in either sound currencies or real assets , now for my money real assets are a better place to be because through history when governments have started printing a lot of money , a lot of money has gone into real things whether that's silver or cotton or natural gas , I mean something that's real that people can use ...putting it into paper money at a time when paper money is being debased all over the world is usually not a good thing to do ...
Regarding the new Financial Reform Jim Rogers says : It is a waste of time energy and everything else , who knows what unintended consequences are going to be ...I can assure you without reading it , that they are going to be many problems that are gonna come from this bill in five or six years from now , and whoever lived back is going to say Oh my Gosh how did that happen ?!?! Dan we do not need more regulations , the industries that caused the problems recently were all extremely well regulated : insurance banking mortgages , those industries were very regulated ...it is not the regulations that caused the problems it is the regulators , the SEC went to see mister Madoff six times in twelve years and said he is fine there is not a problem with mister Madoff , most of the SEC guys it turned out , many of the SEC guys were setting down and watching pornography instead of doing their business , it is more competent regulators we need not more regulations...
regarding Ben Bernanke Jim Rogers says : his strategy is to stay in office , his strategy is to make sure he did get thrown out ...he can't get a real job all he could do is go back to academia , he knows that so what he is trying to do is pump things up so that the economy looks like it is getting better he'll keep his job , everybody will think he is a hero and he can go on to bigger and better things , he is not doing good things for America he is not doing good things for the world he is certainly not doing good things for the American citizens ....you know Dan what he has done is basically he has destroyed the class which saves and invests I mean people who save and invest the people who have been prudent with their money over the past five years are getting demolished by this ...Zero interest rate , so all the people who are going out and getting themselves deep into debt and making big mistakes he's saving them at the expense of the people who were prudent , I mean this is insane what's going on in the US
