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22 Sep, 2011 20:09

World doomed to another recession?

Thursday’s panic on the world’s markets was partly triggered by the grim economic forecast from the US Federal Reserve stating that complete economic recovery is years away. Investment advisor Patrick Young says another recession is inevitable.

Commenting on the markets plunging on Thursday, Patrick Young, executive director of the investment advisory firm DV Advisors, says this is no wonder as all the key figures in global finance have been playing slack.“In the US growth is basically anaemic. In Europe, growth is very low or it is going backwards in all of the major economies,” Young told RT. “China, which has been a huge engine of economy, has come some bad manufacturing numbers.”This leads to fears that even China might be facing difficulties. All in all, the expert believes that “it is inevitable that the world slips into another recession.” The US Federal Reserve’s predicting bleak prospects for the country's economy is another sign President Obama’s counter-crisis efforts have been “a total failure”, says Young.“Money has been thrown on huge public work schemes, because Obama thought he would be rescuing from somewhat like the Great Depression in the 1930s. But the trick is the world has moved on and nothing has happened to really stimulate entrepreneurship or to make it easier to create jobs,” he observed.What worries Patrick Young is that “the Democrats want to have taxes on everything that moves.” Ultimately, the huge number of environmental taxes in the US system has made it difficult for people to find jobs.“What makes the USA such an incredible country is the small businesses: people with 2-15 employees who want to employ, but now they are too scared as there is too much bureaucracy and too many taxes,” concludes Young.