Davidowitz Calls Bank Stress Tests "A Con Game" And Says "The Worst Is Yet To Come" (Video)
May 18, 2009 at 11:20 AM
DailyBail in aaron task, bailout opinion, bailout video, bailouts, bank bailouts, failed banks, geithner, harold davidowitz, tech ticker, the consumer

Harold Davidowitz is a an analyst and consultant to the retail industry operating his own firm Davidowitz & Associates.  He's in the wrong industry.  He should have Tim Geithner's job.  This guy is a frggin' genius.  Seriously, watch both clips and tell me he doesn't have a better grasp than Geithner and Summers.

I found these clips late last night while checking in with Tech Ticker.  Aaron Task does an outstanding job everyday with guest decisions and interviews, and deserves meaningful praise for going to battle against the Wall Street-Washington Machine that has crippled our financial system. 

Both clips are after the loop.  Do not hesitate, these are outstanding.



Tech Ticker:

The green shoots story took a bit of hit this week between data on April retail sales, weekly jobless claims and foreclosures. But the whole concept of the economy finding its footing was "preposterous" to begin with, says Howard Davidowitz, chairman of Davidowitz & Associates.

"We're in a complete mess and the consumer is smart enough to know it," says Davidowitz, whose firm does consulting for the retail industry. "If the consumer isn't petrified, he or she is a damn fool."

Davidowitz, who is nothing if not opinionated (and colorful), paints a very grim picture: "The worst is yet to come with consumers and banks," he says. "This country is going into a 10-year decline. Living standards will never be the same."

This outlook is based on the following main points:

As for all the hullabaloo about the stress tests, he says they were a sham and part of a "con game to get private money to finance these institutions because [Treasury] can't get more money from Congress. It's the ‘greater fool' theory."

"We're now in Barack Obama's world where money goes into the most inefficient parts of the economy and we're bailing everyone out," says Daviowitz, who opposes bailouts for financials and automakers alike. "The bailout money is in the sewer and gone."

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