Two Who Predicted The Financial Crisis

There are (at least) two big misconceptions that have been propagated by the media and our politicians about the current financial crisis: 1) No one in the financial industry saw this coming, 2) The free market is to blame and should be reigned in by the government to prevent it from happening again. Nothing could be further from the truth.

As an example of financial experts still saying that no one saw this coming, there is a current battle going on with Jon Stewart (The Daily Show) vs. Jim Cramer (Mad Money on CNBC) where Jon Stewart is calling out CNBC and all their so-called financial experts for not being right about any of this and causing people to lose a lot of money who followed their financial advice. In the video Jim Cramer says that the financial experts should have saw this coming but none of them did, helping to spread the idea that this was some unforseen event that no one could have predicted and now we are all in a mess that the government needs to step in and help clean up.

Well there are actually many who saw this coming well in advance and tried to warn us all, but nobody would listen. Here are a few examples:

Peter Schiff was one of the more visible and vocal who took a lot of criticism for telling the truth about the financial bubble that was going to soon burst. He was speaking about the financial troubles as early as 2002!:

Here is another compilation of Peter Schiff and Ron Paul clips that also date back to as early as 2002. These clips show both of their warnings about the financial system, but also about how government would react and that we will all be worse off. Amazing how accurate their predictions were:

I could go on and on with examples, but for now I want to help get the truth out about our current problems and their source. These are only two people who were more outspoken about the problems but there are many more that had been warning about this and I will try to post about it at a later time. Let’s make a few things clear: There WERE people who saw this coming and they were not able to predict our economic problems because of what the free market was doing, but because of what the Federal Reserve and the government was doing. These two entities are the root cause of our present situation and they are making it worse by what they are doing now.

Just a day or so ago, MSNBC had Peter Schiff back on and are FINALLY trying to learn from him, instead of ridiculing him. You can tell that most (if not all) still don’t fully get what he’s saying, but at least they are less critical and willing to listen:

If you haven’t already, read my post about auditing the Federal Reserve and take action to help everyone know the causes of our economic problems. Only once we recognize the source of the problems can we understand the proper solutions. I will hopefully find time to make posts in the near future to further address the problems and what the solutions are.

4 Responses to “Two Who Predicted The Financial Crisis”

  1. Todd Nesbit Says:

    Amazing!! I cant believe what is going on! These vidoes really shed some light on what happened. Too Bad it will keep getting worse. Lets start a book club and we can meet and talk about the constitution and the economy and stuff. Maybe the 5000 year leap or look into the stuff from the NCCS?

  2. Jeremy Says:

    Hey Todd,
    That would be cool. I’d like to get together with some like-minded folks to talk about some of the monetary and constitutional issues. I have yet to read The 5000 year leap but it is on my to-read list. We’ll be in touch.

  3. | Says:

    […] regards to  their understanding of the present situation versus Ron Paul and others (see videos I posted here for a […]

  4. Jared Says:

    It is funny how things work out. What Schiff was saying about being a nation of consumers instead of producers is true. For an assignment in an economics class I had to look at the GNP numbers and interprate them. It was easy to see that 1974 was the last year the U.S. actually produced more than it consumed. After so many years of consuming more than the U.S. produced a recession was inevitable. Simple budgeting skills, don’t spend more than you make.

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