2008-10-05, 08:12 | Link #283 |
Putting Truth First.
IT Support
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Will the bailout money plan stop the financial crisis?
Just read some news from BBC, and now German mortgage... http://news.bbc.co.uk/2/hi/business/7653317.stm
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2008-10-06, 00:02 | Link #285 | |
Not Enough Sleep
Join Date: Nov 2003
Location: R'lyeh
Age: 48
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2008-10-06, 00:13 | Link #286 |
Pilot in Training
Join Date: Feb 2007
Location: Earth
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You will feel bad when anime is something that will become extremely hard to obtain. Whether is be the virtual stoppage of fan subs because they can't afford to keep the sites running, or the bankruptcy of the licensees, or the inability as you, the consumer to purchase internet because of high inflation rates, you will see a very large reduction in anime/manga.
Unless you live directly in Japan of course. |
2008-10-06, 08:16 | Link #289 |
Pilot in Training
Join Date: Feb 2007
Location: Earth
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It is coming. This bill will stabilize the economy for a while, but it is probably going to lead to a massive depression for the US and recessions for many nations world wide. I am getting ready for the day I can't afford internet because of inflation.
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2008-10-06, 11:40 | Link #290 |
Obey the Darkly Cute ...
Author
Join Date: Dec 2005
Location: On the whole, I'd rather be in Kyoto ...
Age: 66
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And stocks continue to spiral today. Its always interesting to watch "big time" institutional investors who are supposed to make decisions with skilled rational analysis act like scared sheep. Companies that are perfectly profitable, well-balanced, beat their projections, and show every indication that such will continue are being beaten senseless by sell-offs of their stock. It is like some form of incompetent insanity.
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2008-10-06, 11:58 | Link #291 | |
Not Enough Sleep
Join Date: Nov 2003
Location: R'lyeh
Age: 48
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The US has unregulated capitalism. So what is Europe's excuse with their Social-Capitalism. On the bright side, the economic crisis has shown that the world economic so interlink the chance of WWIII is going to be very remote. The world is going swim together or drown together.
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2008-10-06, 13:22 | Link #292 | |
Gregory House
IT Support
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I'm just sayin'.
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2008-10-06, 13:36 | Link #293 | |
Not Enough Sleep
Join Date: Nov 2003
Location: R'lyeh
Age: 48
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A housing Bubble and Lax lending standards
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2008-10-06, 13:44 | Link #294 |
Pilot in Training
Join Date: Feb 2007
Location: Earth
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Hell, even some of the Asian markets are feeling it(Though not nearly as bad as the West).
Either way, the next few years are going to be hard. We will see a very noticeable decrease of traffic and activity even on this site. |
2008-10-06, 13:52 | Link #295 | ||||
Senior Member
Join Date: Dec 2005
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On the whole, the TARP signed by Bush on Friday doesn't seem to be able to do much to stabilize the problems in the financial sector. In many ways, it's even worse than the one that failed in the House last Monday, but the details aren't all that important since the critical components are just about the same. Think of it this way, the Fed tossed $630 billion into the markets last Monday and it did precisely nothing. The most reasonable conclusion is that the plan was meant to accomplish something altogether different - my suspicion is that it was meant to calm foreign investors and banks so that they'd keep the lending taps open. However, the weakness in many European banks is likely to make that impossible to accomplish. Asian banks tend to be a lot more conservative, but they're not going to be able to weather the storm alone. A major worldwide recession is looking more and more likely. A more realistic government action would have been to consider it in terms of triage rather than a rescue.
Another curious note is that there've been a few systemic banking failures in the last few decades. Why is it that the Treasury doesn't try to learn the better lessons from these failures and apply what solutions worked in past rather than try something totally new? (And something that a great many economists think is insane to boot.) Quote:
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2008-10-06, 14:33 | Link #296 |
Moving in circles
Join Date: Apr 2006
Location: Singapore
Age: 49
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The US$700b bailout had, as we all now know, been an arbitrarily large number to boost market confidence, to assure investors that there is a definite floor beneath how far house prices can continue to fall.
The moment the rescue failed to go ahead last Monday, the plan had already failed. As I've already noted last Friday, while I could respect Congress for voting against the Bill last Monday, their eventual turnaround made me lose faith entirely. It's essentially the same Bill — if it wasn't good enough at the beginning of the week, why should it be good enough by the end of it? Again, as I've already noted, I'm not surprised that many investors feel the same way. So, you see, that's where the problem lay — the extra time forced investors to examine the rescue plan in closer detail, and in the process, they realised it wasn't going to be as good as they would hope. Already, by the middle of last week, I was coming across various opinions about how American stocks remain overvalued, despite the recent crashes, let alone now. The realisation now is that the fallout from a weakening US economy has affected economies in other countries. Thus the chain effect causing market sentiments to wobble the world over. News about weaknesses in the euro zone's banking sector certainly have not helped to boost confidence either. Most curious of all, though, the greenback has actually shot up in value over the weekend. I know this firsthand, because I've just bought US dollars today. Had I bought a day earlier, I would have saved a substantial amount. -__- Apparently, this is because investors are flocking to the de facto global reserve currency amid uncertain times. There aren't too many other things they can invest on — gold and commodities are already too high for comfort, and oil prices could fall further as demand falls due to weakening economies. To put it simply, we live in interesting times. |
2008-10-06, 14:37 | Link #297 |
Pilot in Training
Join Date: Feb 2007
Location: Earth
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4tran, the only thing that doesn't fit is the world falls into a recession, while the US falls into a depression. The next several years are going to be hard. I just wonder if it will be to the point of mass starvation and bread lines, such as in the 1930s.
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2008-10-06, 14:44 | Link #298 | |
9wiki
Scanlator
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Quote:
http://www.taxpayer.net/resources.ph...nes%20By%20TCS
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2008-10-06, 14:49 | Link #299 |
Moving in circles
Join Date: Apr 2006
Location: Singapore
Age: 49
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A crisis as acute as the Great Depression is highly unlikely to occur again at this moment, unless America suffers a sudden panic attack and decides to go 100% protectionist. Unemployment in the United States may have gone up over last month, but it's still nowhere near as high as the 20% unemployment at the height of the Great Depression.
That means that most Americans still have their jobs. And as long as they have jobs, they will still have wages to spend, even though each dollar may not last as long as it used to. So, there's no need to panic, yet. Another crucial difference is that we have a much more fluid, globalised world economy today than we did in the 1930s. So long as the US doesn't shut out foreign funds seeking bargains to buy, money will continue to flow into the country, making it easier for the Treasury to carry out its rescue plan. My advice is to ignore the market swings. We're going through a very turbulent patch, so it's natural for markets to behave erratically. In the meantime, the toxic debts will be cleared from the books, and health will gradually return. Believe it or not, President Bush is right — it will take time to see the positive effects of the Bill. |
2008-10-06, 15:42 | Link #300 | |||||
Senior Member
Join Date: Dec 2005
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As it stands, the American taxpayer is going to get majorly ripped off to the benefit of a few financial institutions. Foreign investors might end up benefitting from TARP most of all. Quote:
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One good indicator is going to be what happens when the holdings of Freddie & Fannie, Lehman Brothers and Washington Mutual get auctioned off.
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