Saxo Bank says the US economy will shrink by 25% and the Chinese economy will decrease by 40%. The economic downturn will come about as a result of the housing crash.
Ron Paul has been critical of the Federal Reserve and has blamed the Federal Reserve for causing the real estate bubble and crash. Paul has said that the loose monetary policy of the Fed had artificially inflated real estate prices which lead to the collapse.
Saxo Bank also predicts $175 a barrel for oil and the price of grain will double. Some have predicted that oil will climb to $250 a barrel if the US attacks Iran. The bank also predicts that 30% of large building companies will go bankrupt.
update: ron paul on bhutto assassination
from raw replay: The Situation Room’s Wolf Blitzer is joined by Congressman Ron Paul to discuss the latest world events and how things are going on the campaign trail. The following video is from CNN’s The Situation Room, broadcast on December 27, 2007.
update: nytimes issues retraction on paul hit piece
from new york times: A post in The Medium that appeared on Monday about the Republican presidential candidate Ron Paul and his purported adoption by white supremacist and neo-Nazi groups contained several errors. Stormfront, which describes itself as a “white nationalist” Internet community, did not give money to Ron Paul’s presidential campaign; according to Jesse Benton, a spokesman for Paul’s campaign, it was Don Black, the founder of Stormfront, who donated $500 to Paul. The original post also repeated a string of assertions by Bill White, the commander of the American National Socialist Workers Party, including the allegation that Paul meets regularly “with members of the Stormfront set, American Renaissance, the Institute for Historic Review and others” at a restaurant in Arlington, Va. Paul never attended these dinners, according to Benton, who also says that Paul has never knowingly met Bill White. Norman Singleton, a congressional aide in Paul’s office, says that he met Bill White at a dinner gathering of conservatives several years ago, after which Singleton expressed his indignation at the views espoused by White to the organizer of the dinner. The original post should not have been published with these unverified assertions and without any response from Paul.