Is the Great Depression Happening? TED Asks Bridgewater Associates, Ray Dalio Says: No, It's a Big Collapse

"Is the world going through an economic depression?" The non-profit organization TED, dedicated to sharing innovative ideas, interviewed Ray Dalio, the founder of Bridgewater Associates. Ray Dalio has expressed his in-depth views multiple times through his blog, but the content is extensive and complex. Through the transcription and translation of this interview, which lasts for 1 minute and 45 seconds, readers can directly understand his concerns.

I want to clarify my comments from yesterday’s @TEDTalks #TEDConnects describing how our current situation compares to the 1930s. As I have often shared with you, I believe that that time period is the most analogous to what we’re seeing today. (continued) pic.twitter.com/ZgEEIsbs3p

— Ray Dalio (@RayDalio) April 9, 2020

Translation of the video content:

TED: Is the world experiencing an economic depression?

Ray Dalio:

"Yes, but I would be very careful with my words. Because this word is very provocative and can be scary."

"So what does a depression mean? It's like what happened in the 1930s, probably between 1929 and 1932. There was an economic collapse, double-digit unemployment, and the overall economy contracted by about 10%."

"You ask me if we are going through something like that? My answer is: yes."

"How was it resolved in 1933? They printed a lot of money, and then the government came up with a bunch of conventional solutions, just like what we are doing now."

"Yes! The same old tricks. Then they did zero interest rates, the same thing."

"And then that money caused inflation from that point on."

"How long did it take for the stock market to return to its previous highs? Or for the overall economy to surpass its previous highs?"

"A very long time."

"Do I think this is what we are facing now? Yes, we are."

"We see this happening repeatedly in history, many, many times, this is just the most recent one. These are structural problems."

"You ask me if this is a depression? My answer is, this is not a depression, this is a breakdown."

"This is because of how we handle money and credit creation, everything I mentioned above leads to that. This is the state we are in."

You can watch the full TED interview content here.

Bridgewater Associates Founder Ray Dalio, who views cash as trash

Ray Dalio is often discussed in the crypto community for two reasons: Bridgewater Associates manages $160 billion in funds, and he often comments that cash is worthless and that Bitcoin has no value. Whether you criticize or praise Bitcoin as a celebrity, you easily attract the attention of the crypto community.

After the economic recession this year, Ray Dalio, who was originally optimistic about market development at the beginning of the year and encouraged people to abandon cash for investment, began to issue many economic analyses, worrying that the way the U.S. is handling the economic recession could bring about a greater crisis. Although he does not support Bitcoin, his disappointment and concerns about traditional economics and governments align with the crypto community.

Bridgewater Associates did not perform as well as in the past this year, even experiencing unusual losses. After the economic recession, there were rumors that the fund began shorting European companies and even selling off Taiwan stocks.