Nassim Taleb has a pretty good gig. He gets paid a lot of money to fly around the world, give speeches, and come up with outlandish-sounding statements ridiculing others for being stupid and inept.
Bloomberg: Bernanke, Geithner and Summers didn’t see the crisis coming so why are they still there?” Taleb told a group of business people in Hong Kong. Bernanke is like “a pilot who didn’t see a hurricane,” he added.
Bernanke said on Sept. 15 that the U.S. recession had probably ended, following a financial meltdown that caused more than $1.6 trillion of losses at the world’s biggest financial institutions. Taleb said the risks that caused the global crisis are “still with us” and urged the U.S. government to avoid burdening the public or future generations with the cost of the bank bailout. The national debt is $11.77 trillion, U.S. Treasury Department figures show.
“The solution is simple: we have to sweat it out,” he said. The U.S. has “to kill the debt,” not pass it on.
We’re confused. So economists are supposed to be able to see events before they happen? We thought prediction was basically impossible. Help us, Nassim! We’re so confused.