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Strap Yourselves in: Jim Rogers Explains Why We Are Going to Have ‘Financial Armageddon’
The Blaze ^ | June 29, 2012 | Becket Adams

Posted on 06/29/2012 9:04:00 AM PDT by Perseverando

Leaders of the 17-nation eurozone announced on Friday a plan to rescue their failing banks with cash normally reserved for fledgling governments. When the “recapitalization” (i.e. bailout) plan was unveiled, markets responded very, very well.

However, despite the positive market reaction, at least one veteran businessman thinks the deal is a big mistake. In fact, he thinks it’s only making things worse. According to Quantum Fund co-founder, free market advocate, author, and regular lecturer of finance at the Columbia University Graduate School of Business Jim Rogers, the EU’s decision to recapitalize its banks won’t do anything to fight off the oncoming “financial Armageddon.”

“Just because now you have a way to get them (the banks) to borrow even more money, this is not solving the problem, this is making the problem worse,” Rogers said during an interview on CNBC on Friday.

Strap Yourselves in: Jim Rogers Explains Why We Are Going to Have Financial ArmageddonGerman Chancellor Angela Merkel (AP Photo/Michel Euler)

“People need to stop spending money they don’t have. The solution to too much debt is not more debt. All this little agreement does is give them (banks) a chance to have even more debt for a while longer,” he added.

Rogers went on to argue that the deal does very little to improve the finances of crumbling nations such as Greece and Spain, adding that governments need to stop coming to the rescue of failing banks, even if it results in “financial Armageddon.”

“What would make me very excited is if a few people went bankrupt or a few people started paying off their debt. We are going to have financial Armageddon anyways, when the rest of the world is not going to give these people any more money,” he said.

(Excerpt) Read more at theblaze.com ...


TOPICS: Business/Economy; Foreign Affairs; Government; News/Current Events
KEYWORDS: economy; eu; euro; jimrogers; preppers; shtf
The CNBC video is about 6:44 minutes. It is an audio interview with Jim Rogers that includes CNBC graphics.
1 posted on 06/29/2012 9:04:07 AM PDT by Perseverando
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To: Perseverando

bfl


2 posted on 06/29/2012 9:06:18 AM PDT by wtc911 (Amigo - you've been had.)
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To: Perseverando

marker


3 posted on 06/29/2012 9:10:55 AM PDT by JDoutrider
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To: Kartographer; blam

Thoughts, gentlemen?


4 posted on 06/29/2012 9:11:57 AM PDT by Old Sarge (Sic gorgiamus allos subjectatos nunc... not just pretty words...)
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To: Perseverando

Everything is too big to fail until it ALL falls.


5 posted on 06/29/2012 9:14:17 AM PDT by Alas Babylon!
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To: Old Sarge

realistically, how much longer can Germany kick the can down the road?


6 posted on 06/29/2012 9:15:57 AM PDT by silverleaf (Every human spent about half an hour as a single cell)
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To: Perseverando

I’ve sort of followed Jim Rogers at least since the early nineties when he lived here in the United States. I don’t remember any time in which he saw smooth sailing and blue skies in the future.


7 posted on 06/29/2012 9:17:06 AM PDT by Tau Food (Tom Hoefling for President - 2012)
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To: Perseverando

Monetary system collapse..........well I guess that’s one way to get rid of Obamacare.


8 posted on 06/29/2012 9:17:57 AM PDT by MachIV
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To: Perseverando
Like a family - - two teenage daughters take Dad's credit card and charged $20,000 worth of stuff the family can't afford. Mom doesn't want the girls publicly blamed for stealing the card - and doesn't want 'Dad' to know ...

Solutions are: (A) Take the credit card away, tell Dad what the girls have done, have daughters get part time jobs and pay off the debt - while the family does without - - keeping payments current.

OR (B) Don't tell Dad. Call Credit Card Company and have limit raised so things will 'appear' OK for another 12 months...

Rogers thinks the (B) will be a disaster down the road. He's right.

9 posted on 06/29/2012 9:23:18 AM PDT by GOPJ (Way to go Kraft. I now associate your brand with anal sex.(Oreo cookies) Freeper agere_contra)
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To: Old Sarge; blam

If you look at the world stage the pieces are being set for war.

War is the ulimate economic reset tool and only the enmemy gets blamed not those who caused the mess in the first place.


10 posted on 06/29/2012 9:30:56 AM PDT by Kartographer ("We mutually pledge to each other our lives, our fortunes and our sacred honor.")
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To: Perseverando
“People need to stop spending money they don’t have. The solution to too much debt is not more debt. All this little agreement does is give them (banks) a chance to have even more debt for a while longer,” he added.

But it's perfectly ok for the Federal government to spend (our) money they don't have and tax its subjects for any goods or services it deems essential.

11 posted on 06/29/2012 9:33:18 AM PDT by TADSLOS (The Liberty Experiment is over. All aspects of your life will now be MANDATED.)
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To: Perseverando; cuban leaf; ding_dong_daddy_from_dumas; DoughtyOne; Gilbo_3; Impy; ...
RE :“People need to stop spending money they don’t have. The solution to too much debt is not more debt. All this little agreement does is give them (banks) a chance to have even more debt for a while longer,” he added.
\Rogers went on to argue that the deal does very little to improve the finances of crumbling nations such as Greece and Spain, adding that governments need to stop coming to the rescue of failing banks, even if it results in “financial Armageddon.”
“What would make me very excited is if a few people went bankrupt or a few people started paying off their debt. We are going to have financial Armageddon anyways, when the rest of the world is not going to give these people any more money,” he said.

Jim Rogers kicks butt. He fled the US a couple of years ago with his family after seeing what obama was up to.

Sorry Jim, you don't understand stimulus. If I lose my job then I have to run up my credit cards to the limit, spending money I dont have, to stimulate the economy so I can get another job. I can always pay off the debts later by taxing my kids allowance. It's an investment. Just ask Paul Krugman as he got an award for logic like this.

12 posted on 06/29/2012 9:33:59 AM PDT by sickoflibs (Romney is a liberal. Just watch him closely try to screw us.)
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To: silverleaf

—realistically, how much longer can Germany kick the can down the road?—

Until their people start rioting.


13 posted on 06/29/2012 9:36:35 AM PDT by cuban leaf (Were doomed! Details at eleven.)
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To: silverleaf

—realistically, how much longer can Germany kick the can down the road?—

This whole thing is a bit like a VERY slow motion video of a bunch of rock climbers tied together and one falls. We see each subsequent climber struggle and eventually lose his grip as the first climber pulls him off the rock face, etc.

Eventually, in our slow motion film, we will see the last climber lose his grip and we pan out to see a line of climbers all falling to their deaths.

It looks like it is now sucking in the last, and strongest climber.

And then as the US watches and laughs, we suddenly notice that the end of the rope is tied around our ankle.


14 posted on 06/29/2012 9:39:19 AM PDT by cuban leaf (Were doomed! Details at eleven.)
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To: Kartographer

Between ObamaCare, Taxageddon, and the resulting social/economic collapse, we’re now officially over the precipice, we just haven’t struck the ground yet.


15 posted on 06/29/2012 9:43:46 AM PDT by Old Sarge (WeÂ’re now officially over the precipice, we just havenÂ’t struck the ground yet)
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To: cuban leaf

And then we look up and see an avalanche (Obamacare) hurtling down on us as we go over the edge of the cliff.


16 posted on 06/29/2012 9:47:12 AM PDT by boxlunch
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To: Old Sarge

Rogers is right sometimes and wrong sometimes. This time he is spot on. The issue in Europe is a systemic one that can only be cured with realistic entitlement cutbacks. But Western Europeans are will see their states collapse before they accede to entitlement cutbacks. Merkel has been balking lately at these short term steps of southern Europe papering over their systemic spending problems particularly when they want to use German assets as the wallpaper.


17 posted on 06/29/2012 9:48:30 AM PDT by chuckee
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To: chuckee

So, when is the next crisis date? In other words, when are the next European bonds due?


18 posted on 06/29/2012 9:59:45 AM PDT by aimhigh
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To: aimhigh

My personal opinion is that Western Europe will not cycle out of this problem.They will go from crisis to crisis as their politicians will not be able to say nein to their populus marching in the streets. With the exception of Germany their economies are uncompetitive having burdened their businesses with costly entitlements and overregulation. Look around your house or office. Do you see anything with a made in Europe label? With the exception of Germany much of Western Europe is at the end game and will topple their economies within the next 2-3 years as they have nothing to offer the world other than the few natural resources they may have.


19 posted on 06/29/2012 10:19:08 AM PDT by chuckee
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To: cuban leaf

LOL! Excellent analogy!


20 posted on 06/29/2012 11:36:22 AM PDT by silverleaf (Every human spent about half an hour as a single cell)
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To: chuckee

—But Western Europeans...will see their states collapse before they accede to entitlement cutbacks.—

Exactly. The US has the same problem. We’re in this for the full ride to the bottom.


21 posted on 06/29/2012 11:43:07 AM PDT by cuban leaf (Were doomed! Details at eleven.)
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To: cuban leaf

Yup, but before we fall they will grab out 401ks & institute some kind of VAT tax here in the States.


22 posted on 06/29/2012 11:47:56 AM PDT by LongWayHome
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To: LongWayHome

I’ll be cashing out my 401k in full and taking the penalty hit. I’m putting it in PM’s. I see huge tax increases (not to mention hyperinflation) in our future.

I want as little “taxable” income as possible.


23 posted on 06/29/2012 12:09:37 PM PDT by cuban leaf (Were doomed! Details at eleven.)
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To: cuban leaf

I’m out of the stock market in full. I have some rental units I own for income. I figure once the demographics shift for good because of immigration in the next 10 years or so our new overlords are going to do some kind of VAT tax. That sucker will bring in billions of dollars.


24 posted on 06/29/2012 1:04:17 PM PDT by LongWayHome
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To: LongWayHome

—...some kind of VAT tax. That sucker will bring in billions of dollars.—

And since it doesn’t actually “create” dollars, I assume it means it will bring them in from “someplace else” which will be missing billions of dollars. And then there is the huge gray market it will create. Not to mention barter. ;-)


25 posted on 06/29/2012 1:06:32 PM PDT by cuban leaf (Were doomed! Details at eleven.)
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To: cuban leaf

The VAT is a horrible tax, but it’s easy to hide. The public won’t see it. They will start it at 2 or 3 percent, and of course in time it will go up & up.


26 posted on 06/29/2012 1:30:14 PM PDT by LongWayHome
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To: Old Sarge
"Thoughts, gentlemen?"

I'm still waiting for the collapse that was certain in the summer of 2010.

I think they'll still be 'kicking-the-can' down the road when I die.

27 posted on 06/29/2012 2:48:25 PM PDT by blam
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To: blam
It's Becoming Clear What Will Save The US Economy In 2012
28 posted on 06/29/2012 2:55:20 PM PDT by blam
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To: cuban leaf

And just who is going to riot, the “herronvolk’’ or the Saracens? Seems to me while the native born Germans might get pissed, what do the Saracens care if it all falls to pieces? It’ll be like the Islamist crapholes they fled only a little better standard of living.


29 posted on 06/29/2012 10:18:06 PM PDT by jmacusa (Political correctness is cultural Marxism. I'm not a Marxist.)
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To: Perseverando
In the immortal words of Yoda: "Screwed you are"
30 posted on 08/25/2012 7:57:33 PM PDT by Beowulf9
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To: Old Sarge; Kartographer; blam

2 years later and no financial armageddon yet...


31 posted on 08/04/2014 12:55:23 AM PDT by Cronos (ObamaÂ’s dislike of Assad is not based on AssadÂ’s brutality but that he isn't a jihadi Moslem)
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To: Cronos; blam; Old Sarge

If the FED gave us all free money think what our 401k’s would look like, but the bills will eventually come due so who is going to pay them?


32 posted on 08/04/2014 8:21:39 AM PDT by Kartographer ("We mutually pledge to each other our lives, our fortunes and our sacred honor.")
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To: Perseverando
Let The Good Times Roll For The US Economy
33 posted on 08/04/2014 9:49:34 AM PDT by blam (Jeff Sessions For President)
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