Dose anyone else feel like...

[Mathais]

Like where heading for a second great depression here in the us? It seems to me like we have been bailing everbody out of debt. then giving loans to those who dont even quallify for them.

Is it just me or dose any one else see this?

[Admiral Piett]

I don't think we're gonna run smack into a depression. I believe it may be a gradual thing. If we don't make the necessary cut-backs in spending and stop the Reserve from printing more and more money, we are going to have a worthless currency. I think we're just overburdening ourselves and shouldering far too many responsibilities outside of our constitutional authority.

[Mithie]

A bunch of selfish s got their due. Nothing depressing about that.

[Ahlerich]

I am willing to meet with any leader who is dedicated to the same principles and philosophy that we are for human rights, democracy and freedom, and I will stand up to those that do not

[Mikelus Trento]

When it seems like it can get no worse...when they are jumping from the windows in panic....that is when it is almost over. Because that is the time that wise investors know to buy...when everyone else is selling.

Keep your assets liquidable. Opportunities are soon to be here.

edit: My answer to your specific question is self-evident in my reply.

[Каие]

It looks like it, but don't expect the government to say anything, because of the stupidity of people admitting it will only cause the natural reaction panic and hell-breaking-loose. The aim is too keep confidence high.

[Felixion]

It's very, very unlikely that we will sink into another depression - but possibly a serious recession.

[Sphere]

I agree, the Great Depression had no government intervention; no bail outs, no FDIC accounts etc so when a panic started there were huge stock market plunges and runs on the bank and money/banks just evaporated.

Now it seems the Fed and the Treasury are willing to saddle up a boat load of public debt in order to keep people from pulling out of the market and keep domino bankruptsy from happening.

It will mean huge long term costs for the American people, but the pain will be drawn out and gradual instead of falling off a cliff.

[Каие]

It's very, very unlikely that we will sink into another depression - but possibly a serious recession.

It's barely a step away.

[Da Skinna]

The robber barons of Wall Street are really the canaries...

[HorseArcher]

Most people say " ehh, those big banks are sinking like the Titanic...it doesn't bother me, I have no investments or loans from them.." , well guess what...Just as small banks connected financially or being a branch of larger banks, so are the businesses and markets, once they go under, it ends up on your and my plate. Your food, commodities, gas, services, basically anything that is connected to money and business.

Imagine a brick thrown into the middle of a river and the ring waves coming are getting bigger but slower. At a certain point, it's the shore that will take the splashes, but it takes a bit of time until the waves arrive.

[Каие]

Most people say " ehh, those big banks are sinking like the Titanic...it doesn't bother me, I have no investments or loans from them.." , well guess what...Just as small banks connected financially or being a branch of larger banks, so are the businesses and markets, once they go under, it ends up on your and my plate. Your food, commodities, gas, services, basically anything that is connected to money and business.

Imagine a brick thrown into the middle of a river and the ring waves coming are getting bigger but slower. At a certain point, it's the shore that will take the splashes, but it takes a bit of time until the waves arrive.

It's ironic, no? When capitalism fails, horribly, communism saves it.

[HorseArcher]

It's ironic, no? When capitalism fails, horribly, communism saves it.

I don't think, that "communism saves it". Communism is a type of capitalism, where the capital is owned by the government. We can see how that plays out, see for example:

USSR
North Korea

[Каие]

What I mean is nationalisation, or huge government intervention or control.

[Admiral Piett]

This has nothing to do with communism. Government is equally as ineffective as big business because they are monopolies, they need competition to keep things in working order or else it goes downhill. There needs to be regulation of business, but also regulation of government, if you get what I mean.

This is to do with non-regulation of these huge investment firms, and bailing them out like the government is doing now is just sickening. (It's a very socialist thing to do) That's $85 billion in taxpayer money just pissed to the wind to keep some business "running" out of fear of ripple effects. They need to take falls or else they are not going to learn their lesson. Note, I know that it is probably necessary, but we shouldn't even be in this situation. Sometimes I'm just flat embarrassed to be an American.

[Sphere]

In all fairness, the US is not really nationalizing these firms (except for Freddie and Fannie, which actually were national to begin with). AIG is getting a huge loan to keep it afloat while the assets are sold off. I have heard the US will probably make a profit as the loan is at 11% interest and AIG has sizable (and profitable) assets.

[Erik]

Like where heading for a second great depression here in the us? It seems to me like we have been bailing everbody out of debt. then giving loans to those who dont even quallify for them.

Is it just me or dose any one else see this?

Yes, I see it too.
And I saw this coming 5 years ago.

The way Americans have been living for the past decades just isn't sustainable.

[Marcus_Aurelius2]

I don't think we're going back to the great depression, after the '29 crisis governments set up economical cussions precisely so things like that don't happen again. The system is less flexible than it was back then, but defenitely safer.

[Erik]

I don't think we're going back to the great depression, after the '29 crisis governments set up economical cussions precisely so things like that don't happen again. The system is less flexible than it was back then, but defenitely safer.

So you're counting on the government to save the economy.
...good luck with that.

Also very interesting: nobody even seem to agree on what caused the great depression in the first place (I know it was the debt bubble bursting, but just try convincing Americans that).
Yet most people feel confident enough that whatever caused it can't happen again because people have learned so much since them :hmmm:

[Marcus_Aurelius2]

So you're counting on the government to save the economy.
...good luck with that.

Also very interesting: nobody even seem to agree on what caused the great depression in the first place (I know it was the debt bubble bursting, but just try convincing Americans that).
Yet most people feel confident enough that whatever caused it can't happen again because people have learned so much since them :hmmm:

I'm not saying the government is going to save the economy, but I don't either believe we're going back to a giant repression, a large one certainly, but not at all on the same scale as the 30's. Proof is today the French "bourse" took 5 percent at its closure: the highest ever recorded in the history of France. And thats nothing close to what happened at the Russian stock market which went up 40 percent, but we all know Russian economics are rather volatile.

I'm trying to stay optimistic...