The IMF's chief economist has warned that the global financial crisis is set to worsen and that the situation will not improve until 2010, a report said Saturday.
Michael sez: Who the hell don't know that? This guy has not been reading the survival blogs.
Olivier Blanchard also warned that the institution does not have the funds to solve every economic problem.
We all know that! Where has this jerk been? Talk about a late arrival.
"The worst is yet to come," Blanchard said in an interview with the Finanz und Wirtschaft newspaper, adding that "a lot of time is needed before the situation becomes normal."
"Normal" as in the same old shit going on again? Forget "normal".
He said economic growth would not kick in until 2010 and it will take another year before the global financial situation became normal again.
So now it's gonna be okay in 2011? Does that mean we will have enough wealth created to entice the Rothchilds and their buddies back into the game for another round of rack and ruin?
The International Monetary Fund on Friday promised to help Latvia deal with its economic crisis after it assisted Iceland, Hungary, Ukraine, Serbia and Pakistan.
Gotta get those BIG economic engines going, huh? But nothing for Uncle Sam.
But Blanchard said the IMF was not able to solve all financial issues, in particular problems of liquidity.
Since it is a matter of liquidity among BUSINESSES then the IMF ain't even in the game.
Withdrawals of capital leading to problems of liquidity "can be so significant that the IMF alone cannot counter them," he said, adding that massive withdrawals of investments from emerging countries could represent "hundreds of billions of dollars.
Truthfully, it will be many TRILLIONS of dollars, Euro's, Francs, Yen, etc.
"We do not have this money. We never had it," he said.
They were just kidding about being able to do much.
The IMF had spent a fifth of its 250 billion dollar (200 billion euro) fund in the last two weeks, Blanchard added.
Then they will come begging for more money. Central Bank people are like that.
He also urged central banks around the world to cut interest rates, after the Swiss National Bank made a surprise one percentage point rate cut Thursday.
Make it easy to get more credit! Just what we need. Moron.
The central banks "should lower interest rates to as close to zero as possible," he said.
But it wouldn't lower the interest rate for the man in the street! Dogs.