Skip to comments.Santelli: Greek Debt Crisis and Riots America’s 'Ghost of Christmas Future'
Posted on 05/07/2010 12:36:44 PM PDT by Rufus2007
While international attention has been focused on Greece's debt crisis and the riots that have ensued over austerity measures, the possibility of the United States finding itself in the same situation is one to be considered a legitimate possibility says CNBC CME Group floor reporter Rick Santelli.
On CNBC's May 7 "Squawk Box," host Joe Kernen pointed out the fear of contagion spreading throughout the world economy has been a focus, but asked Santelli if anything could be discerned from the Greek situation that would apply to the American economy.
"Well, you remember the Christmas Carol?" Santelli said. "You know, Greece is our Ghost of the Future. It's a future that doesn't have to be -- but if we don't make some changes in the here and now, we will ultimately end up not quite like Greece but let me tell you something austerity is not a GDP enhancer and I think a lot of what's going on with issues in Greece are a lot like upside down mortgages. They tend to keep re-defaulting. I think it's not even the medicine. Austerity in a lot of countries isn't going to help the global economy. I think -- I don't know how realistic people are being about the possibilities that it's just going to be tougher to create GDP over the next several years."
(Excerpt) Read more at newsbusters.org ...
.....And with the turmoil in Europe and the unresponsive European Central Bank, the crisis has had a direct effect on U.S. bond rates.
“It’s weird though, Rick,” Kernen replied. “Once again our march to 5 percent on the long pond has been put on hold again. It looks like, and suddenly, we’re going to continue to have — I don’t know whether it is good for us to keep getting cheap money but it won’t happen right away again.”
Santelli pointed to current Treasury bond yields and how that’s not immediately influencing fiscal behavior domestically. But he reiterated that those who control policy ultimately determine the country’s long-term prognosis.
“Hey you know, I guess there’s a lot of people we could call and say when they kept sending you those credit cards in the mail with those teaser rates and you were buying things - that was kind of enjoyable along the way,” Santelli said. “Now, it doesn’t mean we have to end up that way, but certainly a 2.23 five-year, a three-and-a-half 10-year isn’t going to put any pressure on those that spend money to think about it anymore. You know, it would probably be better if it was higher, but world forces are a bit upside down at this point.”
The fundamental change needs to be from socialism to free enterprise. Unfortunately, economic chaos plays into the hands of the commies who want to destroy our system. They all knew that if they spend and tax like hell this would happen..
If Austerity means raising taxes, he’s right.
The best defense against debt is wealth production. Lower taxes, lower spending, slash public union ‘commitments’ and raise the retirement age for public unions to 95.
Is this the guy who launched our Tea Parties with his rants a year or so ago?
May only disagreement is the idea of SEIU punks doing anything in a strenuous manner, to include rioting. Outside of that Santelli is correct.
I believe he is the same gentleman whom you have in mind...
I hope he has his resume updated!
One must wonder how much longer he can go on being critical of OLAS King Barack I and keep his job with a network belonging to GE...
One and the same.
He’s the guy.
Yes, he tends to say what the in studio talking heads avoid or spin.
Rick is probably on the list of people Imelt plans to revisit. He has been on the reservation since his first rant which spawned the tea party movement...shortly thereafter he had a visit from the powers to be who support the golden one and told to cool it. I guess they may feel he needs a refresher course. If so, he would make an excellent addition to Fox.
Look at Calipornia.
They raised taxes and are $3.6 billion short in April.
They have a $8.8 billion charge due on June 30.
Their leaders are still in full denial mode.
What got us here was never a failure of capitalism, it’s always been and continues to be the failure of socialism.
And add a million or two government employees to the labor pool. Without pensions or “buyouts.”
Don't bet on that..........
Remember this is the same guy who also called for “tea parties” to take place over a year ago.
That nails it! Your three sentences should be the rallying cry of the GOP. Well, maybe make the retirement age 72. It should be below the age of death. :)
The IMF has destroyed the lives of millions of poor people by insisting on austerity for private enterprise as well as for government. Keep the spending cuts and sock it to the political class, but don't raise taxes. Cut them to grow the economies.