Historian Who Predicted the 2008 Financial Crisis Warns the Next Recession Is Near
by Sissi Cao
Niall Ferguson, a famed historian and a frequent guest of the world’s most elite events, is one of the prophets credited with accurately predicting the 2008 Financial Crisis.
Back in June 2006, he warned that “over the next two years, the monthly payments on about $600 billion of mortgages taken out by borrowers in the so-called subprime market… will increase by as much as 50 percent.”
A decade has passed since the music stopped on Wall Street.
With economic growth steady and the unemployment rate low, however, Ferguson warns that another financial crisis is closer than optimists would like to believe.
“The post-crisis period is over. What we’re moving into now, perhaps, is a new pre-crisis period,” he said during a recent interview in The Wealth Report published annually by property firms Douglas Elliman and Knight Frank.
One curious reason a new recession may be imminent is that the previous crisis ended too fast.