Legendary investor Jim Rogers warned during a CNBC interview this morning that global central banks are creating the environment for an inflationary holocaust by their ceaseless overprinting of currency, a measure that isn’t even successful in stabilizing the stock market.
Rogers said that the only solution to the market crisis was to let failing banks and speculators go bankrupt and stop pumping endless amounts of liquidity into the system, labeling it outrageous that responsible investors and taxpayers are being made to bail out crooks on Wall Street.
The way to solve this problem is to let people go bankrupt, Rogers stressed, All of this pumping money into the system is not going to save it – see what the market is saying, its saying we dont buy that, let people go bankrupt, he added.
Then you will hit bottom and then you start over. The people who are sound will take over the assets from the people who arent sound and we will start over. This is the way the world has worked for a few thousand years, said Rogers.
Added: Oct: 12, 2008