A Faltering Global Economy, Neo-Keynesians & $15,000 Gold
KingWorldNews.com
September 27, 2012
Today legendary value investor Jean-Marie Eveillard told King World News, “There are people who have figured out that in view of the enormous amount of money printing, which has taken place over the past three or four years, a price of $15,000 an ounce for gold would not be absurd.”
Eveillard, who oversees $60 billion, also said, “I’m not sure they are right, because I have not studied how they came to that conclusion, but I think what is true is there has been gigantic money printing, which will of course help the price of gold.”
Here is what Eveillard had to say: “The global economy seems to be weakening. It’s weakening in the US, Europe, China, in Asia, and this is in spite of the stimulus. Asia is suffering because Japan continues to do poorly. Again, this weakness is apparent despite the fact that Neo-Keynesian policies are in place. There is enormous fiscal stimulus associated with gigantic budget deficits.”
Jean-Marie Eveillard continues:
“There is considerable monetary stimulus associated with the Fed and now the ECB, with the ECB deciding in an ‘unlimited way’ they would print money. So this weakness is a puzzle for policymakers. It’s a sign that the economies in the developed world are not responding to the Neo-Keynesian remedies.
First, the Keynesian policies are somewhat dubious, but number two, after a major financial crisis, it’s always very difficult for the economies to recover….
The Rest…HERE
