kingworldnews.com / July 21, 2012
Today billionaire Eric Sprott spoke with King World News about his greatest fear. Sprott literally shocked KWN by saying, “My biggest black swan, Eric, is that I think I’ll be right one day. My worry is that one day they just shut everything down.” Sprott, who is Chairman of Sprott Asset Management, also added, “They (central planners) say, ‘You know what, we just can’t keep this up anymore, the whole Ponzi (scheme), we just can’t do it and we shut it down.’”
Sprott went on to say that all of the markets would then “freeze.” But first, here is what he had to say about the ongoing ciris in Europe: “It’s beyond the ability of governments to deal with all of these weak countries. There are only one of two answers: Yes, someone could print as much money as they want. Maybe they could print $5 trillion and say, ‘We’ll back up all of the banking systems.’”
Eric Sprott continues:
“And then one could maybe say the problem is solved. Of course the problem is, if they print $5 trillion, everyone knows they can’t back it up with anything. Then you will lose confidence in the currency and you will go into hyperinflation because people will realize that real things are safer than paper things, including bonds and stocks and things like that.
So there are only two choices, they’ve got to print or there are going to be some defaults, which is the natural offspring of a Minsky moment….
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