Repeating the crash of 1929

Interesting article, this. Is not really that long, and has something for everyone on whom to accuse for our living on the edge of a financial precipice.

http://www.alternet.org/story/56443/

I knew about selling short, but naked shorting is a new one for me - and no it isn't selling stocks over the internet in the nude.

Imaginary stocks, an unchecked rising national debt (+$9Billion, last I checked), a housing market in freefall (in some areas), and an SEC that refuses to uphold the laws governing it - sounds good to me. As the article says: "Greed is good." - again.

:balloon2:

btw, champions the old Gullianni

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Originally Posted by KafirChobee

Interesting article, this. Is not really that long, and has something for everyone on whom to accuse for our living on the edge of a financial precipice.

http://www.alternet.org/story/56443/

I knew about selling short, but naked shorting is a new one for me - and no it isn't selling stocks over the internet in the nude.

Imaginary stocks, an unchecked rising national debt (+$9Billion, last I checked), a housing market in freefall (in some areas), and an SEC that refuses to uphold the laws governing it - sounds good to me. As the article says: "Greed is good." - again.

:balloon2:

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I bring this back up because of the concern reflected in another posting about China's "threat" about flooding the world with US dollars and causing their economic suicide while attempting to force the US into appeasement to back off sanctions or forcing the China government to be responsible world citizens.

First off, the portion of the US National Debt ($9Trillion and growing) that the Chinese have is less than $700Billion - in Treasury bonds. It is a significant amount, but all they can do with it is sell it - put it out for bid by other nations. Now, if the bonds were due - then they could of course force the US to pay up. Which of course the US would do by putting the bonds up for bid and paying off what ever difference they couldn't get by the sale.

http://zfacts.com/p/318.html
http://zfracts.com/p/461.html
http://ustreas.gov/tic/mfh.txt

So, not as big a deal as the Chinese would like us to believe. Mater of fact, it would influence their growht more than ours. It might even reduce the number of Western Corporations in their willingness to risk further capital investment there.

Poor Chinese still don't fully comprehend capitalism - a really dumbfounding move by the Commies. Showed their true colors to early.
Would really like to play poker with the jokers that promoted this bonehead idea to them.
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No, what we need to be more concerned with is what I mentioned above, and:

Of course the National Debt must be addressed, and soon. The continuation of its expansion will eventually put us in an intainable possition that actually could be exploited if another nation owned a disproportionate share of it. That is not the present case - but, it maybe in the future if other nations decided to sell off theirs as well.

The collapsing mortgage industry is of more concern. Thanks to deregulation of loans and a greedy banking industry that took their profits from the bennies of granting loans (fees) then selling them. Collapse of the mortgage industry would cause a domino affect. Just as that of the housing markets present spiral will do.
http://www.congoo.com/Industry/mortgage-industry
http://www.wannanetwork.com/blog/view/?ID=3870
Combine all four; The Stock Mrkt, the Mortgage Ind., the Housing Mrkt, and the uncontrolled Nat'l debt - and one has an out of control recession that could end by make 1929 look like a cake-walk.

Good news, btw, for all the neo-con Billionaires - a good depression is always good for the Wealthy.
"And the rich get richer, the poor get poorer. But, inbetween time - in the mean time ... and we got fun."
:wall: :balloon2:

Well if the economy does crash we will all have an excuse to use our guns!`

Lol, Kafir - a 'counterfeit economy'? Perhaps next time you could bring a serious link, not some by some crazy leftist who's last article was about the imminent collapse of our food system because of dying bees, and who cares only to impugn Bush.

Another predictable rant.

CR

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Originally Posted by Crazed Rabbit

Lol, Kafir - a 'counterfeit economy'? Perhaps next time you could bring a serious link, not some by some crazy leftist who's last article was about the imminent collapse of our food system because of dying bees, and who cares only to impugn Bush.

Another predictable rant.

CR

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Kaf's comments on the likely impact of China were well put.

I'm going to have to agree with CR.

Er, bees? CR, you wouldn't be suggesting this?
http://www.economist.com/science/dis...ory_id=9070846

Further, no where in the story about a counterfeit economy is Bush mentioned. As a matter of fact, it is pointed out that Clinton's repeal of the 1933 Glass Steagall Act (1999) as being the cause for the current problem. Then again that is on page four of my link, and I seriously doubt you got past the comment by Ron Suskind (NY Times) - which has the only mention of the Bushys and is not a part of the actual article.

It is the same old living in denial, leaping to conclusions, and believing in the propaganda of the nay sayers - believe as you wish. After all, what matter the truth if it gets in the way of a good dogma - be it political, economic, or other.

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Originally Posted by KafirChobee

... The Chinese have is less than $700Billion - in Treasury bonds. It is a significant amount, but all they can do with it is sell it - put it out for bid by other nations.

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The latest in our financial newspapers is: China is buying up cheap stock in the US. They are going for a takeover in American business.

The Kafir is not making this up... There are problems in the US today that hurt all of us.

The mortgage problems in the US are making investors world wide bleed.
Stock in companies that are really doing well is somehow affected by this and the stock price is falling.
Japan and other financial super powers that have invested in the US mortgages, that appeared to be a sure return investment, are really hurting when the "poor" are unable to pay interests.
This leads to too many available properties, houses and apartments, and with steep interest rates people are reluctant to buy and the investment slows down to a near halt.
The problem escalates.

Hmmm, interesting. I will have to check it more another time.

Someone must have been feeling very smart 'hehehe they can never pay that' only to realise that they can't actually pay that. Way to go, eurocrates were onto something.