Lee Kuan Yew on the economy: "You're down the drain!"

[leewatch]

Lee Kuan Yew on December 2, 2008:

Falling asset prices, people feel poorer, they can’t pay their mortgages, home values are down, credit cards can’t be paid up, installments due on cars, they’re fearful of being retrenched, so there’s a spiral downwards. It started with the subprime mortgages, a floor must be put on that. I don’t know how to do it, FDIC may be one way of doing it, but unless you put a bottom to the housing market, the housing values, and then find some ways to raise asset values, you run the risk of a deflation like in Japan … people feel poorer, they don’t spend, their assets keep on sinking, their debts become more and more unrepayable, and you’re down the drain!

And how did Channel News Asia report it? "Mr Lee expressed confidence that the US Treasury would be able to revive the economy."

Full story on LEEWATCH.

 

[Leegimeremover]

Lee Kuan Yew on December 2, 2008:


And how did Channel News Asia report it? "Mr Lee expressed confidence that the US Treasury would be able to revive the economy."

Full story on LEEWATCH.

"I don’t know how to do it,"

Donno shut up. Not one will call you dumb if you shut. It helps in noise pollution.