–New York Times, September 21, 1998
Last week, the world’s best-known money manager, George Soros, warned that the global capitalist system ”is coming apart at the seams.”
Billionaire investor George Soros forecast on Monday that the U.S. economy is “on the verge of a very serious economic correction†after decades of overspending.
If Soros keeps this up, he’ll be entering Paul Krugman’s league pretty soon,
“right now it looks as if the economy is stalling…” — Paul Krugman, Sept. 20th, 2002
“We have a sluggish economy, which is, for all practical purposes, in recession…” — Paul Krugman, May 29th, 2003
“An oil-driven recession does not look at all far-fetched.” — Paul Krugman, May 14th, 2004
“a mild form of stagflation – rising inflation in an economy still well short of full employment – has already arrived.” — Paul Krugman, April 18th, 2005
“If housing prices actually started falling, we’d be looking at [an economy pushed] right back into recession. That’s why it’s so ominous to see signs that America’s housing market … is approaching the final, feverish stages of a speculative bubble.” — Paul Krugman, May 27th, 2005
Here’s a five year chart of the Dow Jones Industrials since Krugman’s doom and gloom predictions began
Sooner or later they will be proven correct, and the economy will go into recession, but how much credit do they deserve when they were so wrong for so long?
Hat Tips: Crossing Wall Street and QandO