Marc Faber, the publisher of the Gloom, Boom & Doom Report, warns that the policies of the world’s central banks will ultimately create global socialism.
Faber also backed Donald Trump for president.
"I could see a situation where at the end the government owns all the corporations and all the government bonds and then we are back into socialism, into a planning economy," Faber told CNBC
CNBC explained that Faber thinks that central bank policies are essentially monetizing debt, particularly in Japan, where he claims the Bank of Japan (BOJ) is buying all the government bonds the treasury is issuing.
"The central banks aren't interested in what works, they're interested in their own prestige. And they are so deep into it already and it didn't work. They will increase the medicine," said Faber.
"Eventually, they'll buy all the government bonds; they'll buy all the corporate bonds, all the shares outstanding. Afterwards the housing market goes down, they'll buy all the homes and then the government will own everything,"
Faber, who said he's not eligible to vote in the U.S., said Trump is the best option for the White House despite the controversy the billionaire creates.
"I would vote for him for the simple reason that I think he's the only one that can really defeat Hillary Clinton and I would do anything if I were an American not to get Hillary Clinton as a president, anything."
"They basically hate Trump because he's not the party insider," Faber said. "He brings some fresh air into the whole process."
Meanwhile, "socialism" has become a lightning-rod buzzword in the race for the White House.
Forbes.com contributor Dave Davenport
asks: How can we reach a point, virtually overnight, when a term that was recently considered anti-American is now embraced by members of one of America’s two major political parties?
"As a surprising number of Americans “feel the Bern” for a self-described “democratic socialist” (Bernie Sanders) candidate for president, even more shocking polls show Americans drifting toward socialism itself," he wrote.
"In a YouGov survey last month, 42% of Democrats said they had a favorable view of socialism. In November, a New York Times/CBS CBS +0.79% News poll concluded that 56% of Democratic primary voters and 69% of Bernie Sanders supporters viewed socialism favorably, and in a January Bloomberg /Des Moines Register Iowa poll, 43% of likely Democratic caucus-goers used the word “socialist” to describe themselves," he wrote.
"I don’t know which is more discouraging: that young people are becoming comfortable with socialism, or that they have no idea what it is. Any definition of socialism involves government ownership of the means of production and distribution. It’s most assuredly not private ownership of business or a market economy. So for starters, young people have embraced some kind soft collectivism and mislabeled it as socialism."
(Newsmax wire services contributed to this report).
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