Weston Super Saint Posted 26 September, 2008 Share Posted 26 September, 2008 F::ck can a banking system collapse? Slightly worrying that the American tax dollar is having to bail out the whole banking system. If a deal isn't done this weekend though, the markets are gonna go crazy on Monday after the bankruptcy of Washington Mutual :shock: Link to comment Share on other sites More sharing options...
saint boggy Posted 26 September, 2008 Share Posted 26 September, 2008 i'm not really that up on american banking, etc, but are you saying that another financial institution has collapsed then?? if so,,, WTF!!!!! christ, things really ARE looking bleak, aren't they! Link to comment Share on other sites More sharing options...
Ponty Posted 26 September, 2008 Share Posted 26 September, 2008 Where exactly IS all the money? Link to comment Share on other sites More sharing options...
Weston Super Saint Posted 26 September, 2008 Author Share Posted 26 September, 2008 i'm not really that up on american banking, etc, but are you saying that another financial institution has collapsed then?? if so,,, WTF!!!!! christ, things really ARE looking bleak, aren't they! Basically banks borrow from other banks to lend money for mortgages. Washington Mutual has declared bankruptcy as it can't afford the repayments on it's borrowings - presumably it's customers can't afford the repayments to put it into this position. The US treasury is planning to pump in billions of US dollars to 'prop' up the system. But understandably they are arguing over it. If the decision is not reached before Monday morning, I would imagine a lot of investors will be selling their shares in financial institutions for fear of losing all their money, thus triggering a large scale collapse of the markets.... Link to comment Share on other sites More sharing options...
Weston Super Saint Posted 26 September, 2008 Author Share Posted 26 September, 2008 Where exactly IS all the money? I imagine the supermarkets have had most of it spent on beer and fags, since people have started defaulting on their mortgages :smt102 Link to comment Share on other sites More sharing options...
EastleighSoulBoy Posted 26 September, 2008 Share Posted 26 September, 2008 This could put the petty arguments here into some sort of perspective. Link to comment Share on other sites More sharing options...
thesaint sfc Posted 27 September, 2008 Share Posted 27 September, 2008 It's fun at the moment watching America run around like headless chickens, but I think things are going to get much closer to home soon. Time for everyone to put their money under their beds! I was shocked to hear HSBC are getting rid of 500 employees in their London head office. Strange thing for the company I work for is that we've had more computers than EVER going to Africa. The times are a changing. Link to comment Share on other sites More sharing options...
saintwarwick Posted 27 September, 2008 Share Posted 27 September, 2008 Why don't they just print loads more notes. Link to comment Share on other sites More sharing options...
benjii Posted 27 September, 2008 Share Posted 27 September, 2008 It's fun at the moment watching America run around like headless chickens, but I think things are going to get much closer to home soon. Time for everyone to put their money under their beds! I was shocked to hear HSBC are getting rid of 500 employees in their London head office. Strange thing for the company I work for is that we've had more computers than EVER going to Africa. The times are a changing. That would be exactly the worse thing to do! Link to comment Share on other sites More sharing options...
Saintandy666 Posted 27 September, 2008 Share Posted 27 September, 2008 (edited) If the bail out goes through, the USA will have a deficit of $1.5 trillion dollors(for comparison, the Uk had a $39.4 billion deficit in 2007). I'm sorry, but that isn't sustainable. All great countries eventually collapse. It happened to us after the war(and it would have been a lot worse if the US hadn't saved us) and it is going to happen to the US very soon and unfortunately I fear they might take us with them. The USA has had a good run as number 1, now it's china's turn. Although it can be argued as china relies heavily on exports to the west, if we collapse, they could partially collapse meaning everyone is ****ed. Edited 27 September, 2008 by Saintandy666 Link to comment Share on other sites More sharing options...
Thedelldays Posted 27 September, 2008 Share Posted 27 September, 2008 all is well, we have to pay for the olympics yet....:axe: Link to comment Share on other sites More sharing options...
Crouchie's Lawyer Posted 29 September, 2008 Share Posted 29 September, 2008 Why don't they just print loads more notes. Printing more money deflates the value of the money. Russia back in tut olden days tried to employ this trick and it got to the point where there was so much money, it was actually cheaper to wipe your a$$ with notes than go out and buy toilet roll. People were walking down the road with wheelbarrows full of cash just to buy a pack of fags! The reason is because if more people had more money, we would be spending more on things. Eg I have £10 I can buy 10 sweets. I have £100 I can buy £100 sweets. With demand becoming more popular, supply is stretched so prices go up. Link to comment Share on other sites More sharing options...
Rory Posted 29 September, 2008 Share Posted 29 September, 2008 Capitalist economics is a farce anyway. Debt is debt, can't everyone see that? Link to comment Share on other sites More sharing options...
Colinjb Posted 29 September, 2008 Share Posted 29 September, 2008 Why don't they just print loads more notes. I'm sure that was meant sarcastically. Link to comment Share on other sites More sharing options...
Crouchie's Lawyer Posted 29 September, 2008 Share Posted 29 September, 2008 I'm sure that was meant sarcastically. Probably, but its surprising how many people think that this would solve the issue! Link to comment Share on other sites More sharing options...
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