"The Depression [in the wake of the financial crisis] was temporarily interrupted by a bunch of stimulus which ultimately weakened the economy further," says Schiff. He adds the government's likely knee-jerk response of stimulating is, "probably going to be the fatal dose, the lethal dose" prior to "a complete economic collapse."
Peter Schiff, the CEO of Euro Pacific Capital, isn't one of those guests Nesto and I have to badger for opinions. Ask him a question and the long-time bear will tell you exactly what he thinks with vigor, even when he has an aching throat. Schiff thinks the U.S. is headed not just for a recession but rather a full-blown depression. On the upside, he believes the coming economic situation will look familiar.