Dr. Ron Paul: The Economic Crisis On Our Doorstep... in 1988Submitted by Cyril on Mon, 02/17/2014 - 22:56
Dr. Paul speaks at a meeting of the Economic Club of Detroit in 1988. He warns of a coming economic crisis, which he claims is the end result of the government's fiscal and monetary programs.
Early 1990s recession
The recession of the early 1990s describes the period of economic downturn affecting much of the world in the late 1980s and early 1990s [...]
By 1989 it soon turned out that the quick recovery was illusory, as inflation increased to 5.1% in 1989 and economic growth slowed. The Federal Reserve's decision to raise interest rates to combat inflation also slowed the economy. By 1990, economic malaise had returned with the beginning of the Gulf War and the resulting 1990 spike in the price of oil, which also increased inflation but to less of a degree as the oil crisis ten years earlier. Nevertheless, for the next several years high unemployment, massive government budgetary deficits, and slow Gross Domestic Product (GDP) growth affected the United States until late 1992 and Canada until 1995.
The rest of the world was, generally speaking, less affected by the downturn, although Japan has still never recovered from the early 1990s recession [...]