Financial Meltdown (The World)

[Sardonicus]

I think it goes back further, to my old alma mater DBL.

[Joseph27]

I know it sounds asinine but you ever heard of margin calling an entire economy? It would seem that if the US was a corporation it would be insolvent and simply relying on recurrent rounds of fresh funding to enable it to stay afloat. In short - the US as debt ridden Company A and its suppliers – China, Japan, Mid East – maintain a system in which these suppliers buy into the debt cycle to keep US consumers buying their wares; we come to the point where these financiers are holding ever larger amounts of debt in a system that now sits dangerously on the precipice of a total paradigm shift in the way our world works. It is a fundamentally flawed system, the juxtaposition of 'military Keynesianism', spiralling debt and a consumptive culture. A $700 billion bailout keeps the system afloat because that is all we can do; can the world afford to go it any other way?

[skank-la]

Joesph unfortunately your words are 100% spot on

Today is insane here, lets see what happens that side tonight (your Thursday)
I predict panic by the end of this week.

My prediction last Friday was that on Monday Congress(rightly so) would start questioning coughing up $10K per US family to the Bushies with absolutely no accountability or oversight

Decisions by the Secretary pursuant to the authority of this Act are non-reviewable and committed to agency discretion, and may not be reviewed by any court of law or any administrative agency

I said That this week would be 'wasted' with squabbling over how to actually bail out these concerns w/some accountability & in the meantime we may have a major global meltdown while they 'fiddle in Rome' (Washington)

Today McCain is now trying to weasle out of his 1st head to head presdential debate
with Obama Friday night to 'concentrate on this crisis' (This is the guy who said the US Economy was fundamentally sound on Monday) He knows that Obama will mop the floor with him so he is looking for an out.

The basic problem as I see it is that the mortage brokers, investment bankers in the USA etc have already looted & ripped off everybody in the whole world. The $$ are long gone into the their pockets. Ahmadinejad may be essentially right in stating today that the era of US dominance is fast coming to an end. When things start to unravel there is a snowball effect.

I can sort of sit here & watch this unfold with less panic than others as I have my Philippine back up plan, but the rest of the populace here is pretty much f**cked.

I really wonder what the world will look like 3 months from now.

[slinky]

Michael Douglas was asked by reporters at the UN about the financial crisis ---- best quote from the article:

...a reporter asking: "Are you saying Gordon that greed is not good?"

"I'm not saying that," Douglas replied. "And my name is not Gordon. He's a character I played 20 years ago."

Michael Douglas asked about Wall Street crisis

[Morrolan]

Michael Douglas was asked by reporters at the UN about the financial crisis ---- best quote from the article:

...a reporter asking: "Are you saying Gordon that greed is not good?"

"I'm not saying that," Douglas replied. "And my name is not Gordon. He's a character I played 20 years ago."

Michael Douglas asked about Wall Street crisis

sjees...

[slinky]

Yep, and some news agency actually pays that reporter money. Talk about wasted investments.....

[Burbage]

So if the US governemtn is going to bail out the bankers this time, is that not going to encourage them to do the same thing again?

[baloo]

So if the US governemtn is going to bail out the bankers this time, is that not going to encourage them to do the same thing again?

ethics and morals

[Burbage]

So if the US governemtn is going to bail out the bankers this time, is that not going to encourage them to do the same thing again?

ethics and morals

We're all doomed!

[Joseph27]

I like what Clinton has been saying about this in regards to tying the bailout to rewards for the public. There is no use giving $700billion without considerable caveats or these pricks will do it again - at least the ones who dont take massive payouts first. With proper oversight this can rescue the market but boy it is still going to be rough getting credit for business over the next months to years.....

[baloo]

Seeing Paulson state that they shouldn't try to limit the executive salaries with the bail out is amusing. He'd made shit loads, in the hundreds of millions, while he headed up Goldman Sacks.

[Morrolan]

someone sent me the original draft of Paulson's proposal...

Dear American:

I need to ask you to support an urgent secret business relationship with a transfer of funds of great magnitude.

I am Ministry of the Treasury of the Republic of America. My country has had crisis that has caused the need for large transfer of funds of 800 billion dollars US. If you would assist me in this transfer, it would be most profitable to you.

I am working with Mr. Phil Gram, lobbyist for UBS, who will be my replacement as Ministry of the Treasury in January. As a Senator, you may know him as the leader of the American banking deregulation movement in the 1990s. This transactin is 100% safe.

This is a matter of great urgency. We need a blank check. We need the funds as quickly as possible. We cannot directly transfer these funds in the names of our close friends because we are constantly under surveillance. My family lawyer advised me that I should look for a reliable and trustworthy person who will act as a next of kin so the funds can be transferred.

Please reply with all of your bank account, IRA and college fund account numbers and those of your children and grandchildren to wallstreetbailout@treasury.gov so that we may transfer your commission for this transaction. After I receive that information, I will respond with detailed information about safeguards that will be used to protect the funds.

Yours Faithfully Minister of Treasury Paulson

Henry Merritt “Hank” Paulson Jr. is the United States Treasury Secretary and member of the International Monetary Fund Board of Governors. He previously served as the Chairman and Chief Executive Officer of Goldman Sachs.

[Burbage]

I see Sergeant Rudd has piped up. World needs tougher world financial regulations, he says. Well, duh. But a bit rich coming from the PM of a country that's allowed it's population to over-borrow like crazy.

[BFG]

I see Sergeant Rudd has piped up. World needs tougher world financial regulations, he says. Well, duh. But a bit rich coming from the PM of a country that's allowed it's population to over-borrow like crazy.

Allowing adults to make their own financial decisions?

Whatever next??

[Burbage]

Allowing its banks to mercilessly exploit stupid people.

[BFG]

People allowing themselves to be exploited?

[Burbage]

Letting stupid irrespnsible people do what they want is why we're in this mess in the first place.

[BFG]

Letting stupid irrespnsible people do what they want is why we're in this mess in the first place.

True. But, unfortunately, we can't change that without reveiving your plan to topple Burma and expanding it to include world domination.

Your world, that is...

[cromasaig]

we can't change that without reveiving your plan to topple Burma and expanding it to include world domination.

I like your thinking. As an original member of Burb's army I'm up for it, as long as I get my cut. Shall we say, France? If it takes longer than a fortnight I want Italy too.

[Lichtgestalt]

And finally Washington Mutual has also given up... and Alitalia seems to make another go around.

[BFG]

we can't change that without reveiving your plan to topple Burma and expanding it to include world domination.

I like your thinking. As an original member of Burb's army I'm up for it, as long as I get my cut. Shall we say, France? If it takes longer than a fortnight I want Italy too.

You can have the France except for the bits that make nice wine - I've already got first dibs on them....

[Tas]

Ooo er bit freaky on the money that one huh!

I ain't no financial guru, and don't understand half of it. But really now, how much do you need to understand about the world, other than good old fashioned sense, that handing over money with naught supervision, naught conditions, naught limitations on salaries doesn't make a heck of a lot of sense.

someone sent me the original draft of Paulson's proposal...

Dear American:

I need to ask you to support an urgent secret business relationship with a transfer of funds of great magnitude.

I am Ministry of the Treasury of the Republic of America. My country has had crisis that has caused the need for large transfer of funds of 800 billion dollars US. If you would assist me in this transfer, it would be most profitable to you.

I am working with Mr. Phil Gram, lobbyist for UBS, who will be my replacement as Ministry of the Treasury in January. As a Senator, you may know him as the leader of the American banking deregulation movement in the 1990s. This transactin is 100% safe.

This is a matter of great urgency. We need a blank check. We need the funds as quickly as possible. We cannot directly transfer these funds in the names of our close friends because we are constantly under surveillance. My family lawyer advised me that I should look for a reliable and trustworthy person who will act as a next of kin so the funds can be transferred.

Please reply with all of your bank account, IRA and college fund account numbers and those of your children and grandchildren to wallstreetbailout@treasury.gov so that we may transfer your commission for this transaction. After I receive that information, I will respond with detailed information about safeguards that will be used to protect the funds.

Yours Faithfully Minister of Treasury Paulson

Henry Merritt “Hank” Paulson Jr. is the United States Treasury Secretary and member of the International Monetary Fund Board of Governors. He previously served as the Chairman and Chief Executive Officer of Goldman Sachs.

[baloo]

I think people should leave salaries in Investment Banks alone. You don't understand.

[Tas]

huh? I presume you're having a funny?

[Morrolan]

and there goes Fortis:

Fortis Gets EUR 11.2 Billion Rescue From Governments