Article

2009-10-12 Economy

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Posted by Anonymoose 2009-10-12 00:00|| || Front Page|| [1 views ] Top

#1 No Problem add four or five zeros to each county's paper money the "problwm" goes away.

After all Zimbabwe showed us all how it is done in these last few years.

Mr. Gienther are you listening - Rantburg to the rescue.

Posted by Large Uniter8538 2009-10-12 00:16|| 2009-10-12 00:16|| Front Page Top

#2 county's could be country's or if you are "progressive" let the counties of a country start printing money, problem goes away sooner.

Sorry I quoted a well known personality known as "Barney" when I wrote "problwm", I meant problem, Barney is no way quoted in the article and he should not recieve credit for the aforementioned solution.

Regards Large Uniter8538

Posted by Large Uniter8538 2009-10-12 00:22|| 2009-10-12 00:22|| Front Page Top

#3 It means we owe more than half of what we work for just for our debt.

It means your credit rating has just been reduced in not so many legal terms.

Posted by newc">newc 2009-10-12 00:55|| 2009-10-12 00:55|| Front Page Top

#4 It also means we are SOL - SH-T Out of Luck !

Let me Make Your Day - Go to this LINK

Shows you and me and all the way out - Demand this from the Government !

Regards Large Uniter8538

Posted by Large Uniter8538 2009-10-12 01:12|| 2009-10-12 01:12|| Front Page Top

#5 Listed derivatives aren't a real problem, because there is always n parties with equal and opposite obligations.

The real risk is in lending against collateral, including real estate. Real estate prices returning to 10 or 12 years ago would wipe out every bank in the world.

Posted by phil_b 2009-10-12 02:38|| 2009-10-12 02:38|| Front Page Top

#6 Real estate prices returning to 10 or 12 years ago would wipe out every bank in the world.

You know I was unemployed for two year (part employed now), and eaten (quite literaly) most of my savings. I used to feel really bad about it.

Posted by g(r)omgoru 2009-10-12 03:24|| 2009-10-12 03:24|| Front Page Top

#7 I thought this was about Obumble.

Posted by Nimble Spemble 2009-10-12 08:49|| 2009-10-12 08:49|| Front Page Top

#8 From the beginning all the crisis has really been about the derivatives bubble.

I have been talking with bright pebbles about it for most of the decade....

The only sensible solution was not taken.
That would have been to recognize that players were gambling (that's what derivatives are) with money that didn't exist. Therefore the simple solution would have been to say all derivative transactions are NULL AND VOID and the debts didn't exist.

If houses of finance and such tumbled in the process so be it..

Its logical.
If I go to Vegas and gamble millions I don't have and loose... everybody knows very bad and painful things will happen to me and mine....

Why should it be different for the derivative market players?

Going back to the Vegas analogy. I loose millions to the mob in Vegas BUT DEMAND that society pay them for me or I will hold my breath until I turn blue. Then the retarded society pays!

I guess this just proves that INSANITY RULES!

Posted by 3dc 2009-10-12 09:57|| 2009-10-12 09:57|| Front Page Top

#9 Also leverage in general. Derivatives are an extreme for of leveraging, but look at the 200-400X leveraging in the currency speculation markets, the equities bought on borrowed money. It all boils down to our Moneyed Masters gambling with borrowed money, where they can reap many times the rewards and expecting the taxpayers to bail them out when they crash. No borrowed money means losses than can be covered out of their hides.

Posted by ed 2009-10-12 10:13|| 2009-10-12 10:13|| Front Page Top

#10 Why should it be different for the derivative market players?

Because most gamblers don't allocate a good share of their money [and potential bet winnings] on owning and operating politicians.

Posted by Procopius2k 2009-10-12 10:57|| 2009-10-12 10:57|| Front Page Top

#11 INSANITY DOES RULE!

Posted by JohnQC 2009-10-12 16:26|| 2009-10-12 16:26|| Front Page Top

#12 3dc, Agreed the problem was gambling with other people's money on derivatives especially. My point was that derivatives per se aren't the real problem. The problem is gambling with money that isn't yours to lose.

But in a leveraged economy, everyone who borrows to buy some kind of asset is gambling with other people's money to some extent. This includes people who bought a bigger, more expensive house than they really needed because that was the way to increase their future capital gain. Incidentally, almost everyone I know.

Which is why I maintain the deleveraging of economies has a long and painful way to go.

Posted by phil_b 2009-10-12 20:18|| 2009-10-12 20:18|| Front Page Top

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