Faber's Bold Prediction: Both The US And Europe Will Default On Their Debt
Picking up where he left off in his prior Bloomberg interview earlier this week, the author of the "Gloom, Boom and Doom Report" continues his bashing of the governments of all developed and overleveraged nations, which he claims will sooner or later default on their obligations. This could be the most scathing critique of the fiat-money system to date, which is the primary cause for the facility with which governments have accumulated untenable debt loads.
"In the developed world we have huge debt to GDP, in terms of
government debt to GDP and unfunded liabilities that will come due, and these unfunded
liabilities are so huge that eventually these governments will all have
to print money before they default."
Sure enough, CNBC, and especially Dennis Kneale, was not too happy with his assessment.