World economy may slip to 1930s-like depression: Indian Central Bank Chief

www.business-standard.com...

The global economy is “slowly slipping” into Great Depression-like problems of the 1930s, Reserve Bank of India (RBI) Governor Raghuram Rajan has cautioned, asking central banks from across the world to define the “rules of the game” to find a solution.

“We need rules of the game in order to effect a better solution. I think it is time to start debating what the global rules of the game should be on what is allowed in terms of central bank action,”

Keep in Mind he was one of those few people who predicted the 2008 Financial crash. I am assuming the "rules of the game" he is referring to the rampant printing of money by the central banks.

a reply to: maddy21

It should have already happened.

And it will.

When you have a system that prints more money to fix short-term problems and ignores simple economics...

I'm just done with the "it's gonna happen now!" predictions.

If you're in the know, you'll get the memo.

a reply to: maddy21

So who would be the new Hitler? With the coming Depression, a new Hitler would arise.

a reply to: maddy21

This smart honest man is right on the money.....Like the pun. Inflation is out of control and about to render the bottom 50% of the US citizens homeless and hungry.



Printing endless money and keeping interest rates at zero is a bad.....bad idea.

Oh....we're not in the depression now ?

originally posted by: starwarsisreal
a reply to: maddy21

So who would be the new Hitler? With the coming Depression, a new Hitler would arise.

TPTB take advantage of bad times.......The people beg and scream for change and TPTB come in and save the day. The only problem is you have to give up individual rights to get it.

Hmm. It all depends on how the makets open today. If they follow the leader, then it's time to panic.

Well will see how much influence the Fed has over the markets participants and they already corner the market.

a reply to: maddy21

What he is "stealthly" implying is the 500 pound Gorilla and White Elephant Trillion dollar American deficit in the room. If a small country like Greece can't get an extencion on its debts ( a couble of billion). What makes you confident that world Central Banks can extend Trillions of dollars to run our (American) corrupt government. Think about that...

The trouble is, the Weimar Republic inflation has been forgotten/not taught in business schools, a wheel barrow full of bundles of 1,000,000 Mark notes to buy a loaf of bread, workers paid three times a day with the inflation rate nearing light speed, still, history is always forgotten the minuet the classroom door closes...

a reply to: cenpuppie

I don't think it will happen overnight, it will take months to happen.
We may see a step downwards today, then more to come.

The rules of the game is to keep a global economy of 8 Billion or so running.

There are a lot of supply chains with many dependencies across the globe. Money helps keep the ships and machines of enterprise organised and running. As the world does become more interconnected, we are all in it together.

India has invested a lot into programming and I am very impressed by some of their work. I am sure they have a lot to offer in helping to keep the global accounting on the right tracks.