"Land of the Predictable": Pimco CEO Warns U.S. Debt Default Might Have "Catastrophic" Effect

"In yet another of the seemingly endless self-serving fear-mongering exercises, Pimco’s El-Erian Says U.S. Debt Default Might Have ‘Catastrophic’ Effect

Pacific Investment Management Co. LLC Chief Executive Officer Mohamed El-Erian said a short-term default by the U.S. on its debt might have “catastrophic” legal consequences.

“We would be in the land of the unpredictable” if lawmakers fail to reach an agreement to raise the $14.3 trillion debt ceiling and the U.S. misses a payment “simply because of the technical linkages,” El-Erian said in an interview on CNN’s “Fareed Zakaria GPS” program, scheduled to air today..."

at  http://globaleconomicanalysis.blogspot.com/2011/06/land-of-predictable-pimco-ceo-warns-us.html?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+MishsGlobalEconomicTrendAnalysis+%28Mish%27s+Global+Economic+Trend+Analysis%29