The Economy

Decide how the world should be governed and by whom.
Forum rules
The emphasis here is on original comment and opinion by the poster.
Article length Cut-and-Past posts are discouraged
The general Code of Conduct rules apply to this forum.

Re: The Economy

Postby AJRC » 11 Aug 2011, 13:36

It's already happening -kg-. Defence spending has been cut and there are job losses across the three arms of the military. Plus civil spending has also been cut and there are many job losses in the police force. This time everyone is feeling it. Well nearly all, the few percent to whom money isn't a problem (bankers/politicians) probably don't think twice about the little people.

Stocks went up again today in the US and Europe, Asia still made a loss but not a huge one.
User avatar
AJRC
Oracle Class Poster
Oracle Class Poster
 
Posts: 5108
Joined: 22 Aug 2007, 03:34
Location: Newcastle Upon Tyne, England

Re: The Economy

Postby AJRC » 13 Aug 2011, 05:57

After their recent scare the Stock Markets are going back up again. The euro is safe for now and the US posted a rise in retail sales.

We're not out of the woods yet, not by a long shot.
User avatar
AJRC
Oracle Class Poster
Oracle Class Poster
 
Posts: 5108
Joined: 22 Aug 2007, 03:34
Location: Newcastle Upon Tyne, England

Re: The Economy

Postby kg » 29 Sep 2011, 18:21


So, how long do you think it will be before the whole house of cards falls?

Sept. 30 (Bloomberg) -- European leaders are turning their focus to the next steps to stem the region’s debt crisis after German lawmakers approved an expansion of the euro-area rescue fund’s firepower.

With the European Commission now expecting the overhauled 440 billion-euro ($599 billion) European Financial Stability Facility in place by mid-October, euro finance chiefs will next week discuss accelerating enactment of a permanent rescue fund that provides more capital and a tool for managing defaults.

“I’m not convinced that this bailout package is going to be remotely enough for the euro zone itself,” Wilbur Ross, the billionaire chairman of private-equity firm WL Ross & Co., said yesterday in an interview on Bloomberg Television’s “In the Loop” with Betty Liu. “I think it should start with a ‘T,’ not a ‘B,’” he said, referring to trillions instead of billions.

Europe Prepares Next Crisis Steps
User avatar
kg
Honored 10k Club Member
Honored 10k Club Member
 
Posts: 10656
Joined: 06 Sep 2007, 23:45
Location: Godfrey, IL.

Re: The Economy

Postby AJRC » 02 Oct 2011, 05:55

Well if Greece or Portugal default on their loans then it could be very soon. And if Italy's economy fails then so does the euro. Thank god we stayed out of the euro, best move the last lot of conservatives ever did.
User avatar
AJRC
Oracle Class Poster
Oracle Class Poster
 
Posts: 5108
Joined: 22 Aug 2007, 03:34
Location: Newcastle Upon Tyne, England

Re: The Economy

Postby kg » 04 Oct 2011, 14:14


Has it crashed yet? (with reference links)

Some very significant things happened on Monday. But the media has gotten so used to reporting on tremendous financial instability that Monday's events mostly got brushed to the side. Instead, Amanda Knox captured most of the headlines.

But the reality is that some really, really monumental stuff has been going down.

The following are 14 facts that just might scare the living daylights out of you....

    ----

...Basically, what politicians all over Germany are saying is that Germany has now done all that it is going to do.

The implications of this are huge.

Ambrose Evans-Pritchard recognized this in his editorial. In fact, the usually reserved journalist actually used all caps for six straight sentences and broke out some very strong language that is very uncharacteristic for him....

Repeat after me:

THERE WILL BE NO FISCAL UNION.

THERE WILL BE NO EUROBONDS.

THERE WILL BE NO DEBT POOL.

THERE WILL BE NO EU TREASURY.

THERE WILL BE NO FISCAL TRANSFERS IN PERPETUITY.

THERE WILL BE A STABILITY UNION – OR NO MONETARY UNION.

Get used to it. This is the political reality of Europe, since nothing of importance can be done without Germany. All else is wishful thinking, clutching at straws, and evasion. If this means the euro will shed some members or blow apart – as it almost certainly does – then the rest of the world must prepare for the day.

Basically, this is his way of saying that "the sky is falling" and that the financial system of Europe is doomed.

If you have followed the writing of Ambrose Evans-Pritchard for any length of time, then you know that he is one of the most respected financial journalists in the world and that he is not prone to indulge in much "doom and gloom". For him to say what he did is very significant.


America is included in all this, naturally. How long can it last?
User avatar
kg
Honored 10k Club Member
Honored 10k Club Member
 
Posts: 10656
Joined: 06 Sep 2007, 23:45
Location: Godfrey, IL.

Re: The Economy

Postby AJRC » 05 Oct 2011, 09:28

If Greece defaults Germany will be hurt very badly. Germany has invested the most in the Greek rescue package, it's a good chance that Germany may be the next nation needing rescued. And if the German banks get hit hard, then France and the UK get hit hard too. The UK has put in the least amount of the European nations, not sure why. But it's still £4.3 billion, and that's money we can't afford to lose.

And as you say America could be hurt the most. Maybe not directly from the Greek debt but from what happens afterwards. 50 percent of U.S. money market funds are tied up in European bank debt. So if the European banks go then so do the American ones. It's like 2007 again, only in reverse. And this time it'll be much, much worse!

And i think most are saying it's not if but when Greece defaults. :hide:
User avatar
AJRC
Oracle Class Poster
Oracle Class Poster
 
Posts: 5108
Joined: 22 Aug 2007, 03:34
Location: Newcastle Upon Tyne, England

Previous

Return to Political Issues

Who is online

Users browsing this forum: No registered users and 4 guests

cron