Soros: US Is Already in Double-Dip Recession

CNBC.com | September 22, 2011 | 01:51 AM EDT

Billionaire investor George Soros said he believed the United States was 
already experiencing the pain of a double dip recession and that Republican 
opposition to Obama's fiscal stimulus plans was to blame for sluggish growth.

Asked by CNBC if he believed the US risks falling into a double-dip recession , 
Soror said: "I think we are in it already."

"We have a slowdown and basically a conflict about whether the rich ought to 
pay taxes to create jobs or not and there was a deal in the making which would 
have balanced the budget over the long term, but would have allowed short-term 
fiscal stimulus, which would have been the right policy," Soros said in an 
interview late Wednesday.

"That was rejected, it fell apart… so it will come to the electorate next year 
to decide what they want," he added.

Euro zone policymakers have repeatedly followed the wrong policy shifts, 
creating a situation in Europe "more dangerous" to the global financial system 
than the collapse of Lehman Brothers in 2008, Soros said.

"It is a more dangerous situation [than Lehman Bros] and I think that the 
authorities, when push comes to shove, will do whatever it takes to hold the 
system together, because the alternative is just too terrible to contemplate," 
he added.
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