George Soros: "People don't realize that the system has actually collapsed" | Credit Writedowns

One of the world's most foremost capitalist, George Soros, in an interview by Bloomberg television today, made his most dramatic remarks about the European debt crisis when he said it reminded him of the final days of the Soviet Union.

The biggest mistake governments made in responding to 2008 credit freeze was failing to approve rules that would regulate banks and other financial firms across the globe, Soros said. While markets have become integrated, individual nations continue to set their own rules, which has allowed “deregulation to spread like a virus,” Soros added.

“Regulation is very difficult and we haven’t solved it at all,” he said. “We are very early in the process and we are not making much progress.”

“Fixing European debt issues is not so easy,” he said. “There is a lot of confusion, and I am also confused on the market direction at the moment.”