Posted: October 25, 20098:30 pm Eastern
Â© 2009 WorldNetDaily
Drawing striking comparisons between the Japanese economy in 1988 and the American economy today, a new book by an author who predicted the current crisis warns it's going to get much worse before it gets better.
Vox Day, a WND columnist, asserts in "The Return of the Great Depression," by WND Books, the U.S. is only now entering the early stages of the Second Great Depression.
Day presents a fact-rich case, rooted in economic history and time-tested theory, in which he concludes that an economic contraction of very large proportions is developing.
But he contends that "due to a reactive wave of positive social mood, statistical obfuscation and understandable denial, it will take about a year for the consensus opinion to cycle through the various scenarios in descending order of optimism before the grim reality finally becomes apparent to even the casual observer."
Though the message is stark, Day believes the book is a much-needed antidote to the self-interested optimism of the financial media.
Get "The Return of the Great Depression," autographed, at WND's Superstore
Published on the 80th anniversary of the 1929 stock market crash, the book offers a detailed analysis of recent economic and monetary policies to show why pundits on both the left and the right didn't foresee the current calamity.
Day's credibility is bolstered by his prediction seven years ago of the collapse of the housing market and the destruction of the financial services industry, in addition to some remarkably precise market forcasts.
In a Sept.23, 2002, WND column, he wrote:
There can be little doubt that the implosion of the equity markets will soon be followed by the pricking of the credit and real estate bubbles. As great financial houses such as Citigroup and JP Morgan Chase teeter on the edge of bankruptcy, it is well within the realm of possibility that the triple whammy of the equity, credit and real estate implosions will lead to the collapse of the entire global financial system.
Day told WND he "wrote the book in order to give people a means of understanding what created the present economic situation and why there is a severe dislocation between what they are experiencing in the daily lives and what the government and the financial media are telling them."
Read More: http://www.wnd.com/index.php?fa=PAGE.view&pageId=113846