Economists Herald New Great Depression

Figures comparable to 1930s, “central bankers have stood in the way of recovery”

Steve Watson
GCN Live.com
Monday, Aug 9th, 2010
The world is currently experiencing the modern day equivalent of the Great Depression, according to a prominent economist who has added his voice to scores of others now forecasting ongoing economic doom on a scale not seen since the 1930s.

Robin Griffiths, a technical strategist at Cazenove Capital, told CNBC Monday that he sees the stock market bottoming out in October as the world has entered significant financial depression.

“Equities are for losers and bond markets for winners. Equities are simply for people who like losing money,” Griffiths said.
“A double-dip is inevitable and imminent, as Keynesian stimulus measures have never worked anywhere. We are in the equivalent of a Great Depression following 3 years of credit crisis,” he added.

Griffiths also says he has charted a 20-year secular downturn in the West, which we are currently halfway through.

Griffiths’ comments echo those of other notable economists and experts who have concluded that zero growth, mass unemployment, and devastating monetary tightening spells depression on a 1932 level.

With real measures of unemployment having been at around 20% and rising for some time, other analysts have pointed out that the numbers are in the same ballpark as the Great Depression.
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