Marc Faber: Government Expanded 'Like A Cancer' (VIDEO)

Video:  Marc Faber on CNBC's Squawk Box Europe -- June 17, 2010

We have both clips from Faber's appearance last week, plus transcribed quotes.  Outstanding interview, unless of course you prefer to invest in Federal Reserve debt-pretend bubbles, in which case the truth from Dr. Doom is gonna hurt.

Second video is below the quotes.

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Source:  CNBC

• "Governments have intervened too much in free markets since the crisis started, to the point that they are affecting the health of the world economy."

• "I think that governments have become like a cancer, they have expanded in the financial system."

• "I think the biggest problem is too much intervention. Whatever the government touches is usually done worse than in the private sector."

• "I think any government intervention has unintended consequences and is negative," he said. When there is intervention, "eventually the market will break the intervention and things will blow out."

• Government stimulus packages create volatility in stock markets because they distort economic indicators, said Faber, who predicted that the US will implement another stimulus.

• Supporters of past government interventions to boost money in the economy have said that without them the world economy would have been in much worse shape now, with unemployment much higher and more companies going bankrupt.

• "Yes I am familiar with this line of argumentation," Faber said. "The Keynesians will all say … we would be in a depression now. But it's not clear to me that this is correct."

• "At this level I'm not particularly interested in buying anything," he said in response to the deflation argument. "I buy gold, I don't know what else to buy."

• He reiterated his view that another, worse crisis may happen in five to 10 years, "when the whole financial system collapses" because the debt problem has been kicked down the road without actually being sold.

• "I think US Fed, ECB and other central banks have no other option, they will continue to monetize and buy bad paper, period," Faber said. "The central bankers are precisely the ones that don't know that excessive money creation and excessive debt creation leads to a crisis down the road."

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Video:  Part 2 -- Dr. Marc Faber

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Comments

[DailyBail]

http://www.escapeartist.com/

Ever want to leave the country...everything you need to know about living abroad is here...

[DailyBail]

Since Faber is always talking about collapse...

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http://www.independent.co.uk/news/science/the-end-of-the-world-as-we-know-it-1999537.html

The end of the world as we know it

Forget man-made threats – the catalyst for the apocalypse will come from outer space, warns astronomer Chris Impey

[DailyBail]

As we looked through the latest properties to hit the market this weekend, we came across a rather famous address that is apparently now for sale: 1600 Pennsylvania Avenue NW -- aka The White House.

Redfin has the executive lodging listed for $10 million. The 55,000 square-foot property has a price per square foot of $182.

Obviously this is an error. It looks like Redfin software pulled an example listing from the website Owners.com by mistake. That example listing was the White House. We have e-mailed Redfin for comment.

http://www.nbcwashington.com/around-town/real-estate/Is_The_White_House_for_Sale_-96258284.html

[DailyBail]

INDIANAPOLIS (AP) - Companies that offer employee health insurance expect another steep jump in medical costs next year, and more will ask workers to share a bigger chunk of the expense, according to a new PricewaterhouseCoopers report.

http://apnews.myway.com/article/20100614/D9GASS000.html

[DailyBail]

Teacher fired for premarital sex

Jarretta Hamilton taught fourth grade at private Christian school

Read more: http://today.msnbc.msn.com/id/37683770#ixzz0riYYLHyT

Fired for fornication with her husband to be...

[DailyBail]

WH Takes Cues from Liberal Think Tank on Spill

http://blogs.wsj.com/washwire/2010/06/14/wh-takes-cues-from-liberal-think-tank-on-spill/?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+wsj%2Fwashwire%2Ffeed+%28WSJ.com%3A+Washington+Wire%29

[DailyBail]

U.S. Identifies Vast Mineral Riches in Afghanistan

http://www.nytimes.com/2010/06/14/world/asia/14minerals.html

[S. Gompers]

"I buy gold, I don't know what else to buy."

I say buy silver, smaller values will mean not getting trounced for an ounce of the yellow stuff for a loaf of bread if no one can make change, and understand that the value of both can go down.

"Ever want to leave the country...everything you need to know about living abroad is here... "

I have been many places, most of my adult life revolved about being somewhere else, but the scamper and run tactic is uniquely British, therefore many will find it appealing I guess. But as for me, I would not miss this for the world...

[S. Gompers]

"Redfin has the executive lodging listed for $10 million. The 55,000 square-foot property has a price per square foot of $182."

Maybe they will turn it into a theme resort to pay our debt holders, pay a fee, and spend the night and remember when we were a sovereign nation... Oh the memories, LOL.

[DailyBail]

ouch....

[wageesh jha]

The first step towards economic recovery will be when 75% of govt. employees all over the world are fired..There are enough clowns sitting in govt. offices all over the world holding positions of power and what they will do if their source of power is threatened is anyones guess..Eventually some new joker comes along and says that vote for me and i will give you a new solution..ha..ha..ha..i think the best solution of economic mess created by us will come from the markets themselves,if at all a solution exists..unfortunately the governments are not going to let financial recovery happen..may be we need to stop shamelessly bragging to the world that the fundamentals of economy are strong and start behaving RESPONSIBLY...