Ignore The ‘Doomsayers’ At Your Own Peril

This weekend, I was surfing various news publications on the Internet when I came across a real interesting piece by Adam Davidson on the New York Times web site. Apparently, Davidson had the chance to interview Nouriel Roubini, the former Clinton administration Treasury official and NYU economics professor who is credited with predicting the 2008 global economic crisis, back in 2005. At that time, Dr. Roubini warned Davidson that the U.S. housing market was in a bubble that would pop and bring about a global economic recession, or even depression. What did Davidson do? From his February 1 piece:

I remember leaving his office both stunned and confused. Only after calling a few leading economists was I reassured that this Roubini guy was expressing a fringe view that merited little attention. Like a lot of reporters that year, I turned around a tongue-in-cheek story about Dr. Doom and his scary (but probably best ignored) world view. Oops!

Not surprising. The amount of ridicule that was directed at Roubini and the handful of other “doomsayers” around back then was significant. I should know- I received my share of it after my old blog Boom2Bust.com, “The Most Hated Blog On Wall Street,” debuted on Memorial Day Weekend 2007.

But remember that quote by the American editor and novelist Charles Simmons:

Ridicule is the first and last argument of a fool.

Consequently, there were- and still are- many fools roaming Wall Street, academic institutions, and elsewhere, which became all too readily apparent after the global financial crisis became full-blown in late 2008.

As for the “crash prophets?” Davidson revealed:

For nearly a decade, it turns out, the most accurate forecasts have come from the fringe.

(Editor’s note: Italics added for emphasis)

“The most accurate forecasts have come from the fringe.”

That probably won’t be uttered in the financial mainstream media anytime soon.

But here’s the “really scary” thing, as Davidson might say. From the piece:

So it’s upsetting to learn that many of those same Cassandras now believe, for different reasons, that we are on the brink of another catastrophe that may be far worse.

(Editor’s note: Italics added for emphasis)

“Upsetting?” Probably not for regular readers of Survival And Prosperity and followers of the so-called “fringe.” They’ve been aware of such forecasts for a while now. And a number of these are well-underway with their preparations.

Question is, will the bears get “lucky” again? Davidson noted that President Obama and many “smart people” spent 2009 thinking these guys “had just been lucky.”

Just as I don’t readily-discard Pollyanna-ish predictions, my thoughts are, ignore the “doomsayers” at your own peril.

Source:

Davidson, Adam. “It Is Safe to Resume Ignoring the Prophets of Doom … Right?” NYTimes.com. 1 Feb. 2012. (http://www.nytimes.com/2012/02/05/magazine/economic-doomsday-predictions.html?scp=1&sq=doomsayer&st=cse). 6 Feb. 2012.

Share

Tags: , , ,

Monday, February 6th, 2012 Crash Prophets, Recession

No comments yet.

Leave a comment

Survival And Prosperity
Est. 2010, Chicagoland, USA
Christopher E. Hill, Editor

Successor to Boom2Bust.com
"The Most Hated Blog On Wall Street"
(Memorial Day Weekend 2007-2010)

PLEASE RATE this blog HERE,
and PLEASE VOTE for the blog below:



Thank you very, very much!
Advertising Disclosure here.
ANY CHARACTER HERE
Emergency Foods Local vendor (Forest Park, IL). Review coming soon.
ANY CHARACTER HERE
Legacy Food Storage Review coming soon
ANY CHARACTER HERE
MyPatriotSupply.com reviewed HERE
ANY CHARACTER HERE
Buy Gold And Silver Coins BGASC reviewed HERE
ANY CHARACTER HERE
BulletSafe reviewed HERE
ANY CHARACTER HERE
BullionVault BullionVault.com reviewed HERE
ANY CHARACTER HERE
This project dedicated to St. Jude
Patron Saint of Desperate Situations

Categories

 

Archives