In 2019, Former Governor Of BOE Warned, “World Economy Sleepwalking Into New Financial Crisis
Uploaded by Matthias Chang
[Matthias Chang’s comments: I am pissed off with the pseudo financial experts in Malaysia with their heads buried in the sand and exposing their filthy arses! Over the weekend, I send out an email to a select group of patriots – to learn and learn from the past so as to prepare for the future.And told them to read and study earnestly the speech of Mervyn King in 2019 at the IMF’s annual Jacobsson Lecture. I am sure, 98% of people in Malaysia are totally unaware of this speech and the grave warnings.
[Yet, pseudo experts dare asked and challenged my forecast and analysis of the current crisis. Only idiots would ignore the grave warnings delivered to an exclusive global financial elites gathered at the IMF. Hence, my forecast and analysis after the verification of the astute observations of a former Governor of the Bank of England (BOE). Maybe now, you will agree why Malaysia is in a mess and unprepared since 2019 till todate. So, freaking ask, “why we are not told of these warnings and why we ignored Matthias’ exhortations that we must urgently prepare for the crisis?”
[In 2019, Lim Guan Eng was the Finance Minister and Tun M was the prime Minister. Since then we had two PMs – total silence!
[Today, we have Anwar Ibrahimas PM and Finance Minister who is still blur and trying to entice a failed and clueless Khairy Jamaluddin. The arsehole politicians are fighting for power, but missing the proverbial “elephant in the room”. So, read the speech first and watch the video.]
Key quotations:
“Another economic and financial crisis would be devastating to the legitimacy of a democratic market system,” King said. “By sticking to the new orthodoxy of monetary policy and pretending that we have made the banking system safe, we are sleepwalking towards that crisis.”
King warned that the US would suffer a “financial Armageddon” if the Federal Reserve were not able to combat another crisis, given that the world was in a low growth trap. Recovery from the crisis of 2008-9, he declared, was weaker than that following the Great Depression.
“Another economic and financial crisis would be devastating to the legitimacy of a democratic market system,” he said. “By sticking to the new orthodoxy of monetary policy and pretending that we have made the banking system safe, we are sleepwalking towards that crisis.”
“No one can doubt that we are once more living through a period of political turmoil. But there has been no comparable questioning of the basic ideas underpinning economic policy. That needs to change.”
“Ripples on the surface of our politics have become breaking waves as the winds of change have gained force.”
“Following the Great Inflation, the Great Stability and the Great Recession, we have entered the Great Stagnation.”
“In 2013 the former US Treasury secretary Larry Summers had reintroduced the concept of secular stagnation, a permanent period of low growth in which ultra-low interest rates are ineffective: “It is surely now time to admit that we are experiencing it.”
“It is the failure to face up to the need for action on many policy fronts that has led to the demand stagnation of the past decade. And without action to deal with the structural weaknesses of the global economy, there is a risk of another financial crisis, emanating this time not from the US banking system but from weak financial systems elsewhere.”
Continue reading from the beginning of the PDF below:
