Bill Gross's comments about economy

Will lower interest rate create another bubble? --Yes. According to Austrian thesis, in which it's necessary for recessions to occur for asset prices to be liquidated in order to start anew. And I think there’s a semblance of logic and common sense to that. --It’s just that we’ve gotten to the point and backed ourselves into a corner so many times that the pain may be too much to bear for, not only the American economy, but the global economy, because of the interconnection. And what do you think is the biggest problem facing America today? --enormous future liabilities that haven’t even been addressed. We have immediate problems in terms of the housing market, but our future liabilities in terms of healthcare, in terms of social security, in terms of the retirement of the boomers and the aging of the boomers and the ultimate ill health I guess of the boomers - and that’s what happens as people get older - that those liabilities are enormous and they number in the tens of trillions of dollars that haven’t been addressed and ultimately have to be. --They’ll be addressed, in my opinion, with cheaper money, a declining currency and higher interest rates as we go forward. But that’s, perhaps, for another day, not for 2008.