Wednesday, 10 December 2008

Bloomberg Interview with Martin FeldStein

Martin Feldstein, is the former head of the NBER, the committee that makes the ultimate decisions on whether the US eocnomy is in recession. This interview covers a variety of topics from the US Auto Bailout, to housing and how bad the currrent recession will be.

Feldstein is of the belief that forecasts of a turnaorund in the middle of next year are overly optimistc and he sees the recession lasting much longer. That is the my view as well. The idea that the US can spend it's way into prosperity I find naive at best. Feldstein was early with his call on the current recession and talks a lot of sense. Well worth a watch.


Deano said...

Good to see there is still the odd sane mind speaking a bit of reason. Not sure if you saw this article from Sunday's NY Times, but its a good read.

The Fundamental Analyst said...

Yeah interesting reading Deano, it seems Keynes is definitely back in vogue. Greenspan was an Ayn Rand follower, have you ever read any of her books? No wonder Greenspan's intellectual edifice came tumbling down