Merrill Lynch Chief Executive John Thain has said he does not expect the global economy to recover quickly from the credit crisis and that the environment more closely resembled 1929, the advent of the Great Depression, according to Reuters and several other news reports.
“We are going to be in a very difficult economic environment for a significant period of time,” Thain said during the company’s annual financial-services conference.
“Right now, the U.S. economy is contracting very rapidly. We are looking at a period of global slowdown,” he told investors. “This is not like 1987 or 1998 or 2001. The contraction going on is bigger than that. We will in fact look back to the 1929 period to see the kind of slowdown we’re seeing now.”