Buffett says economy fell off cliff
Picture of the Day at Glenn BeckBy Jonathan Stemple @ Reuters
Warren Buffett said on Monday the U.S. economy had "fallen off a cliff" but would eventually recover, although a rebound could kindle inflation worse than that experienced in the late 1970s.
Speaking on CNBC television, the 78-year-old billionaire investor also said the economy was mere hours away from collapse last September when credit markets seized up, Lehman Brothers Holdings Inc went bankrupt and insurer American International Group Inc got its first bailout. "The world almost did come to a stop," he said.
Buffett spoke nine days after telling shareholders of his insurance and investment company Berkshire Hathaway Inc that the economy was in a "shambles" likely to persist beyond 2009.
On Monday, he said the country still faces an "economic Pearl Harbor," experiencing a "close to the worst-case" scenario of falling business activity and rising unemployment.
(Excerpt) Read more at reuters.com ...
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