Rupert Murdoch Sees Recession, 5 Years of Real Estate Woes

Sunday, Dec. 16, 2007 10:10 p.m. EST Rupert Murdoch, media tycoon and new owner of the Wall Street Journal, predicts that the U.S. faces a recession that will hit the overall economy and could undermine real estate for five or six years.

Appearing on Fox News' "Your World with Neil Cavuto," Murdoch admitted that he’s worried about the economy.

"I think we are in for a recession, probably. How bad it will be, I don't know. But I think there's a lot more bad news to come ...”

When Cavuto asked where the bad news will come from, Murdoch responded "European banks, insurance companies, pension funds."

He added that current woes "always start with housing booms."

"And it takes some time, a year or two, for an economy to come right through it, probably five or six years for the real estate market to come through it.”

Cavuto's asked, "Five or six years?"

Murdoch explained, "That has sort of been the history of these things in the '60s and the '80s.”

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