Right on the Money: Doug Casey on Economics, Investing, and the Ways of the Real World with Louis James

Chapter 1

Doug Casey on Bernanke: Be Afraid, Be Very Afraid (Part One)

December 8, 2010

Louis: Thanks for the link to the “historic” Ben Bernanke interviewa. It was breathtaking to hear the man who didn’t see the crash of 2008 coming say he’s “100 percent confident” he can control the U.S. economy. What do you make of that—is it hubris or stupidity?

Doug: As 60 Minutes pointed out, it’s rare for a Fed chairman to give an interview; this was only Bernanke’s second—here’s a link to his first. It’s such an unusual thing that I think it’s a sign that the Powers That Be are really quite worried. As they should be. His last interview was at the height of the crisis in early 2009.

L: Bernanke himself looked worried. I was amazed, actually, watching the interview, by just how nervous and stressed he appeared. He stuttered, his lip quivered continuously, and that pulsing vein on his forehead really stood out throughout the interview. He looked like he was flat-out lying and doubted anyone would believe him, but had no choice but to keep lying. It was almost like a cartoon of a liar caught red-handed. It’s a shocker that the Powers That Be would let such an interview be aired—it would seem to be the opposite of reassuring, to me.

D: I know. It’d be nice to run that interview through a voice stress analyzer and see what it says. It’s a question of whether he’s a knave or a fool—neither answer is bullish for the U.S. economy. He’d be wonderful to play poker against.

He’s not a skilled or ...