Category Archives: Economic Crisis

George Soros Predicts Disaster for China

George Soros Predicts Disaster for China

George Soros was recently featured in an article by Bloomberg about his prediction that China’s current debt status is similar to that of the global economic crisis from 2007 through 2008. In the feature, Soros bases his analysis on the credit-growth figures for China from March of this year. Last month, the Chinese government poured $362 billion into the economy, which far exceeded the forecast. He explains that from the figures, it is evident that the Chinese government is currently prioritizing economic growth over keeping an eye on the country’s debt, which has been steadily on the rise. Because China is the second largest economy in the world on http://www.bloomberg.com/news/articles/2016-04-20/soros-says-china-s-debt-fueled-economy-resembles-u-s-in-2007-08, Soros said he is keeping a close watch over the Chinese government’s decision to keep pumping money into losing enterprises to keep them afloat, while the number of loans made by the Chinese government continues to mount without the requisite amount of deposits to offset them. George Soros warns that this is a recipe for ultimate disaster, especially in light of the fact that international investors are growing weary of the unsustainable financial policy of the Chinese government.
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Soros is widely consulted for his perspective on international markets and investment trends. His current fortune on http://www.biography.com/people/george-soros-20926527 stands at an estimated $24 billion, which he built up through taking risks on various international markets in part. Soros founded and serves as the current chair of Soros Fund Management and the Open Society Foundations. The Open Society Foundations are a major part of Soros’ philanthropic endeavors and currently operate in more than 100 countries around the world. In 2011, the Open Society Foundations reported annual expenditures that exceeded $835 million in efforts to promote open societies, human rights and transparency throughout the world.

George Soros‘ incredible personal life story provides some insight into his strong commitment to philanthropic causes all over the globe. He was born in Budapest, Hungary in 1930 and survived the Nazi occupation of the country during World War II. Soros was forced to flee to England, where he studied at the London School of Economics beginning in 1947. After that, George Soros moved to the U.S., where he began his career in investing and would eventually go on to make a massive fortune based on his insight into the trends of international financial markets. Given his experience as an immigrant and sensitivity to the impact of authoritarian rule, Soros has been unwavering in utilizing his wealth and resources to prevent similar situations that he experienced growing up from taking hold around the world. Soros has published over a dozen books on a variety of subjects, including politics, social issues, economics and international investing. He is also very active in liberal and progressive political issues and campaigns.

George Soros Thinks China’s Economic Issues Will Impact All Global Economies

George Soros Thinks China’s Economic Issues Will Impact All Global Economies

When it comes to information about investing, George Soros is the go-to man in that industry. Soros is an investment wizard that has accumulated an enormous fortune picking stocks and betting on financial situations that others overlook. Forbes says Soros is the 30th wealthiest person on the planet with more than $27 billion in assets. George is not afraid to give his money away to support causes that are important to him. He has more than 20 foundations around the world, and he is in touch with all of them on a regular basis.

Bloomberg.com recently posted an article about a George Soros prediction, and investors around the world immediately responded to his views on the global economy. Soros thinks 2016 will be a replay of the 2008 meltdown for several reasons. Soros is not one to spread gloom and doom reports around the financial markets, but in this case, he believes the facts have to be reported.

The facts, as Soros mentioned in the Bloomberg interview, are happening now. The first fact is China is in an economic crisis. China can’t stop its manufacturing and export slowdown for a number of reasons. The Chinese government has pumped billions of dollars into its stock market recently, and that move hasn’t helped that market. Devaluating the yuan is another tactic China is employing to turn the economy around, but that move is creating more issues for the rest of the world.

The truth, as Soros points out, is China has a few tough years ahead economically speaking. The world is going to suffer because China can’t turn their massive economy around quickly. China can’t become a consumer driven market overnight and therein lies the problem. China is the main source of this looming recession, and no one can change that fact.

But, as Soros mentions in an NYBooks.com interview, there are other issues that will contribute to the 2016 recession. The European Union is in crisis mode, and Soros believes the Union could collapse if Chancellor Angela Merkel doesn’t bring the countries together to solve the migration issue. The migration crisis is threatening one of the foundations of the Union which is open borders. Some EU members have closed their borders and others like Britain are threatening to leave the Union.

The Middle East crisis is another factor that will contribute to a 2016 economic recession. Soros believes the Syrian crisis may be resolved in 2016, but there are other issues in that region that are contributing to the global stress that is accumulating in financial markets.

Mr. Soros thinks investors should find other investment vehicles in 2016. The stock market is a risky investment vehicle, and it’s only going to get riskier as the year progresses.