For those of you following the World financial news . . .?
Tell me why we're not in a full-scale global depression so I can feel more optimistic about things.
Its relative, if everyone is in a depression, it's a depression in name only.
This depression is financial, the value of companies will go down and shareholders will receive less, but the good news is that the depression has not been caused by crop failure or catastrophic weather or war.
There is really no need for people to starve or even to stop manufacturing goods and selling services, if the financiers would lower their expectations.
Debt is only toxic if it does'nt get paid, if the toxicity has been caused by mortgage debt simply lengthen the term of mortgage or even add signatories to it, and hey presto, bad debt becomes a mortgage asset.
The return on the debt becomes a longer term investment.
March 3rd, 2009 at 8:21 pm
We are in a recession, a depression is when people have no money, nothing to spare. You still have internet at least
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March 3rd, 2009 at 8:30 pm
I wish I could be more optimistic, but I feel that we're headed for a depression. The best thing you can do is get your bills paid off as quickly as possible and have your pantry stocked. Sorry.
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March 3rd, 2009 at 9:01 pm
the US is the root of the problem so the rest of the world will recover while the US goes into a depression
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March 3rd, 2009 at 9:34 pm
Its relative, if everyone is in a depression, it's a depression in name only.
This depression is financial, the value of companies will go down and shareholders will receive less, but the good news is that the depression has not been caused by crop failure or catastrophic weather or war.
There is really no need for people to starve or even to stop manufacturing goods and selling services, if the financiers would lower their expectations.
Debt is only toxic if it does'nt get paid, if the toxicity has been caused by mortgage debt simply lengthen the term of mortgage or even add signatories to it, and hey presto, bad debt becomes a mortgage asset.
The return on the debt becomes a longer term investment.
References :
March 3rd, 2009 at 9:52 pm
I don't know the answer to this question but I do have a friend who owes someone money and I've heard he will pay it back when the Dow hits 15,000.
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