Economic depression

[terbang]

So is it for real, are the yanks gonna sink us all or is it just a wee blip? If so, How well do you reckon we would fare as a nation, or even as individuals? Also worth considering, what ended the last great depression?

[idb]

... what ended the last great depression?

World War 2...yikes!!

[KiwiKat]

So is it for real, are the yanks gonna sink us all or is it just a wee blip? If so, How well do you reckon we would fare as a nation, or even as individuals? Also worth considering, what ended the last great depression?

USA is noted as running a deficit economy for years. Overvalued assets and underproduction. For decades they have borrowed heavily from other european and western countries. A high proportion of their major corporations are partly owned or financed by Asian and Middle Eastern investors. These smart cookies are slowly and effectively taking control in US financial circles.

USA is known to play the "let's get involved" hand in other countries conflicts where there is a future economic advantage to them.

The EU is now considered to be more stable financially and more powerful than USA. World focus on stock markets is more than likely to shift towards EU and Asian markets.

There are going to be some crap years financially but NZ is quite well insulated. we are capable of producing nearly all our needs but currently choose to exploit international markets for quick gain. Maybe cheaper meat, dairy products etc for NZ'rs. We are a switched on country but we are lazy and choose to 'cruise' by international standards.

Your house has only ever been worth the value of the used materials in it.

Note: My opinions.

[jrandom]

[tri boy]

Just a long overdue shift of economic power.
Q is, will the new power brokers be better or worse.
Hopefully the EU can get their collective acts together, or power will delivered to Asia/Middle East comfortably. MHO

[alanzs]

This too shall pass... As long as people don't panic and take all their money out of the banks, we'll be fine. Gotta go, the line at the bank is starting to move...

[rainman]

So is it for real, are the yanks gonna sink us all or is it just a wee blip? If so, How well do you reckon we would fare as a nation, or even as individuals? Also worth considering, what ended the last great depression?

It's for real alright - the American empire is a dead duck. Couldn't happen to a nicer bunch, of course, although I do pity the poor US taxpayer (and their descendants) who'll be bent over and rogered comprehensively over this. I see some of them are getting off their arses (sorry, asses) and protesting - as the attached pic shows.

This is a good read from the Telegraph. Highlights:
"Mr Paulson admits: "Raw capitalism is a dead end. I've seen it.""
"the principle of spending money to be paid by posterity … is but swindling futurity on a large scale." - Jefferson
"Having collected sacks of gold at Goldman Sachs, this former champion of free markets (Paulson) wants to nationalise assets at a pace not seen since Che Guevara was lighting cigars with Batista's legacy."
"There is no policy yet invented that can make fifty cents worth two bucks forever."

Don't think the yanks are going to sink us though, we're doing a good enough job on that score ourselves. What'll happen here in little ole NZ? We'll take the eye off the ball again (do we even know what game we're playing?) and get all gloomy over world events and lose all sense of confidence, business and retail will slow, property will slide another 25%+, companies will close and jobs will be lost. Our service economy will encounter difficulties, leading to a further downturn. It will be uncomfortable. Far fewer new TVs will be bought. There may even be a need to cut down on cappuccino consumption! The morons we elect (whichever ones) will doubtless try to jump start things by flinging buckets of our money around.

Fortunately John and Helen have all the answers! Tui...

It's time for all of us to grow up and take some responsibility for what's happening around us. It's going to be a bumpy ride for the next 10 years or so.

[Swoop]

The credit crisis is hitting the UK very hard...

[alanzs]

It's for real alright - the American empire is a dead duck. Couldn't happen to a nicer bunch, of course, although I do pity the poor US taxpayer (and their descendants) who'll be bent over and rogered comprehensively over this. I see some of them are getting off their arses (sorry, asses) and protesting - as the attached pic shows.

This is a good read from the Telegraph. Highlights:
"Mr Paulson admits: "Raw capitalism is a dead end. I've seen it.""
"the principle of spending money to be paid by posterity … is but swindling futurity on a large scale." - Jefferson
"Having collected sacks of gold at Goldman Sachs, this former champion of free markets (Paulson) wants to nationalise assets at a pace not seen since Che Guevara was lighting cigars with Batista's legacy."
"There is no policy yet invented that can make fifty cents worth two bucks forever."

Don't think the yanks are going to sink us though, we're doing a good enough job on that score ourselves. What'll happen here in little ole NZ? We'll take the eye off the ball again (do we even know what game we're playing?) and get all gloomy over world events and lose all sense of confidence, business and retail will slow, property will slide another 25%+, companies will close and jobs will be lost. Our service economy will encounter difficulties, leading to a further downturn. It will be uncomfortable. Far fewer new TVs will be bought. There may even be a need to cut down on cappuccino consumption! The morons we elect (whichever ones) will doubtless try to jump start things by flinging buckets of our money around.

Fortunately John and Helen have all the answers! Tui...

It's time for all of us to grow up and take some responsibility for what's happening around us. It's going to be a bumpy ride for the next 10 years or so.

Time to get that antidepressant prescription refilled!

[rainman]

Time to get that antidepressant prescription refilled!

Naah, I would never take crap like that. No sense getting depressed anyway - it is just what it is... Us Zen masters are very accepting of the universe. (Or maybe it's the universe that's very accepting of us Zen masters )

Besides there's a lot to keep me busy in my local community. Why give a toss about the global shituation or the latest foibles of the John and Helen show?

[Big Dave]

For us as motorcyclists there are some immediate implications.

The recent demise of a bike shop in NZ has stung a lot of people further up the chain. This coupled with the daily despair on the financial pages has shaken retailer confidence.

'Summer will be good - next winter might be long' is not uncommon.

Subsequently the shops are looking at their stock levels. They won't hold as much stock.

If you want parts - even routine service parts - and big ticket items like tyres - order them in in advance or be prepared to wait longer than is usual.

[alanzs]

Naah, I would never take crap like that. No sense getting depressed anyway - it is just what it is... Us Zen masters are very accepting of the universe. (Or maybe it's the universe that's very accepting of us Zen masters )

Besides there's a lot to keep me busy in my local community. Why give a toss about the global shituation or the latest foibles of the John and Helen show?

While not professing to be a zen master, I have learnt over the years to not worry too much about the global situation (or anything really), as it doesn't help; it or me.

I have always tried to live below my means and it has worked so far. Putting emotional attachment to "things" is a never ending roller coaster ride. Health is our only real wealth and that too will eventually cease. I am for not against anything...

[KiwiKat]

For us as motorcyclists there are some immediate implications.

The recent demise of a bike shop in NZ has stung a lot of people further up the chain.

Talking of this interesting event - is the responsible person being drawn and quartered.

[alanzs]

They are being paid. The former CEO of WAMU, the largest US bank to fail in history, just received a $20 million golden parachute. He had been the CEO for three weeks.

[Ixion]

What ended the last Great Depression?

Why, Lord Keynes and socialism, to be sure.

Or Roosevelt and Neww Deal Socialism, if you were on that side of the ditch

Or Mr Savage and Socialism, here in Godzone

See a common thread there?