Washington – New York Mayor Michael Bloomberg warned Wednesday a “next wave” of financial pain may come from overseas if foreign entities stop buying U.S. debt.
Subscribe to our Daily Roundup Email
The billionaire mayor spoke before an audience at Georgetown University, telling them it’s not clear who is going to continue buying U.S. debt as financial firms try to cope with a crisis of confidence on Wall Street.
The mayor is scheduled to meet Thursday morning with Treasury Secretary Hank Paulson and Securities and Exchange Commission Chairman Chris Cox.
Before becoming mayor, Bloomberg made a fortune by launching a financial information company that bears his name, and he has more credibility than most politicians on economic matters.
Bloomberg said he was concerned that the credit crisis in the United States may scare off foreign investors that, until now, have been willing to buy debt that the U.S. uses to maintain a deficit.
“It’s not clear who’s going to be buying our debt,” said Bloomberg. “It may very well be that the next wave is going to come back and bite us.”
The mayor, a Democrat-turned-Republican-turned independent, regularly criticizes both parties, the Congress, and the White House for what he says is their lack of foresight. He said the current economic crisis is the latest example of the same problem.
“We have on both sides of the aisle, on both ends of Pennsylvania Avenue, thrown caution to the wind. We pay lip service to responsibility,” he said, as he sat onstage in an armchair, fielding questions from Georgetown President Jack DeGioia.
Bloomberg had originally planned to give a speech about the economy, but amid the fast-moving events on Wall Street, he scrapped the speech and went with a question-and-answer session instead.
“The systemic problem is we’ve all gotten into a situation where we want it now, there’s no pain … We keep saying we want to have it, we don’t want to pay for it. You can’t go on forever not addressing the key issues in this country,” like health care and immigration, he said.
Asked about government regulation of the U.S. economy, he said that while some complain it is excessive, the United States has a competitive advantage because in many other countries “you would think that most (corporate financial statements) are just made up.”
smart dude this bloomberg, always has his sights with a outlook.. may not like him like I don’t but he’s a moneymaker..
last week he said everything is ok nothing to worry about
suddenly he work up that were in trouble, wow such a smart moneymaking man, why did he not warn anyone a few years ago when times were good? it took a almost 1000 point loss in 2 days to wake him up that there is trouble?
bloomberg is selfish brat
Don’t you see? He must be recruited for president! Every other politician is at a loss of what to do. It is 1929 all over again! They are all scrambling for experts. This is the only politician who is one of the experts! Obama and McCain haven’t got a clue as to what to do. Bloomberg does. Let’s recruit him!
Mayor Michael Bloomberg will do whatever he can to keep the obese parking maids off of welfare and working. He is so smart. He keeps hiring more and more of the Huge Ones with the humongous sunglasses. So, he shows how the Wefare recipients list is shrinking and sends them into all the boros to give tickets for garbage violations and parking infringements. This is his sweet way of eventually getting into some kind of presidential race. He has therefore taken from the rich to give to the poor without hurting any of the poor. He calls, “rich” anyone who drives a car or has a garbage can. So, the angry, mean rotten, former welfare people become employed and the idiots who pay taxes already anyway, pay even more for tickets. He forgot that then, the roles reverse and the regular taxpayers become angry mean and bitter. We will remember him.
What has he accomplished? Exactly what he wanted…he gets more money for the city, believes all will forget how he got that money, and then he can run for more power and honor by being a presidential candidate.
This is a “rumor” just like the “rumors” re: the credit markets that were circulating last year when the DOW was at its RECORD HIGH! E.g., a rumor which is very likely to become reality!
Jewish people. Do hishtadlus. Get passports for your families, and if you are able, purchase gold coins and a smaller tranch of silver coins. G-d willing, if things go South, we’ll have a window of opportunity to get out of this country and go to Eretz Yisrael.
True, it might be going from the frying pan into the fire. But these times will be fraught with tests of emunah.
Everything is the will of Hash-m, but, “G-d willing if things go south” that’s demented (and also selfish). Because you decided that’s your way of going to EY!? Everyone should suffer? Give me all your money, and I’ll give you some gold coins, and you can book the next flight
I think #7 meant to say to that G-d willing, comma,—-, comma, we will have a window… Not that he is willing for bad chas veshalom!!!
I agree with his hishtdlos action plan- think WW2 chas veshalom!
I think #7 saod that we will G-d willing have a plan if chas veshalom it goes south… Read his commas… And get a passport… Meshiachs times!!!
forget about number 7 mr. bloomberg is a big hypocrite.
first of all he ““The systemic problem is we’ve all gotten into a situation where we want it now, there’s no pain … We keep saying we want to have it, we don’t want to pay for it.”
but he supported the amnesty bill to have the illegal’s stay here i remember him saying on his weekly show that we must have them its good for the economy now he is saying that we want it fast and cheap then why did you support the illegal’s for fast and cheap? on a side note i see since this whole wave of illegal’s started coming in it didnt help the economy but it hurt us badly.
Second point “like health care and immigration, he said.
”
here you g again you liar you supported the amnesty bill.
and if he is such a genius why can he only comment after something happens where is he before??? and no he did not help the city he stole money from us and takes credit for himself.
The gemoroh says as one of the signs that Moshiach is comming Ozlo Prooto min Hashuk.
Meaning that prootos (Money?) left the market.
Indeed Yemois Ha Moshiach.
The truth is that all prophecies that aren’t good don’t neccessarily must happen, so I wishh all klal Yisroel a ksiva, vachasima Tova, Leshana tova umesooka. we could do Tshuvah and change the situation.
Hatzlacha a good blessed year for all.