The owner of the Wall Street Journal made some frank predictions about the economy at the Journal’s D6 technology conference yesterday. In short, the economy is only going to get worse, and it’s going to stay that way for a while. Silicon Alley Insider’s Peter Kafka reports:
Q: How do you feel about the economy?
A: Tomorrow you’re going to read that Dow Chemical is raising prices 20%. It’s going to screw up the whole economy. But whole ecomony already in trouble, and next you’re going to see unemployment. I don’t know how bad it will be. But it’s starting to affect other countries as well – it’s started in Britain and it will spread to Europe.
Q: So do you think this is a real recession?
A: Yeah, and it’s “one that I don’t see us coming out of for quite some time.”
Q: How would you deal with oil problem?
A: Let people drill off the West Coast. If people don’t want their views ruined, make them do it 50 miles away.
But long-term, I’m very optimistic. Some 3 billion people, mainly in Asia, coming out of intense poverty. And the world is getting wealthier. All I can see is expansion and wealth creation for the next 30 years. But “for the next 18 months, I think this country is in for a very hard time”.
More of what Murdoch had to say here >