Harvard economist: "Paris could burn in the summer" in light of what is happening in Brazil
The riots in Brazil have startled the financial world.Harvard economist Niall Ferguson fears that Paris could be the next city which is covered by unrest.The party leaders in China already read the books by Alexis de Tocqueville, especially his standard work on the end of the old elites during the French Revolution.
Harvard economist Niall Ferguson holds in Paris for "extremely vulnerable" in terms of violence.Fergusson told CNBC that "there can be so much already this summer, we see the city in flames."This is due to the bad economy, the high youth unemployment and thus a generally charged atmosphere against the government of Francois Hollande.Fergusson said that Paris was traditionally a city in which it comes quickly to unrest and riots.
Recent footage of Brazil Riots has economists and politicians worried it may spread to their countries
Also for cities in South America or Cairo Fergusson sees great dangers.In Brazil this week are only riots broke out because the majority of poor people are angered by price increases and poor public infrastructure ( here ).The wealthy in Sao Paolohave largely disconnected from normal life.The city has the highest density of helicopter landing sites on the skyscrapers.Thus, the rich want to escape the traffic jam on the earth.However, they fear, such as CNBC reported contact with the population.
Fergusson also reported an extended trip to China.He was amazed that the game leader had told him, they just read the book "The Old Regime and the Revolution" from 1856.In this book, Alexis de Tocqueville was describing the causes of the French Revolution.A party man had brandished during the call even a paperback edition of the work.This shows a inititiative the party leadership effect: This reading had expressly recommended in the spring to prepare for the party cadres to possible unrest.However, Ferguson does not believe that there would be a revolution in China.The regime had the police state so well constructed that the population should be kept under control.
According to the economist Joseph Stiglitz unrest include the blueprint of the IMFto restructure the global economy.Disturbances cause a fall in prices and shares in companies, which provide interesting possibilities for investments