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Forget immigration and terrorism because something bigger is coming... watch

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    (Original post by john2054)
    Isn't eight years long enough for our economies to recover? Afte all, surely we have learnt from the lessons of the '07 and '08 crashes, and put safeguards in place to prevent it from happening again? Such as the tightening up of the credit profiling??
    Our economy has recovered however very few lessons from the Great Recession have been learned (and the wrong lessons probably kept in the mind). We are still piling up unfunded guarantees, the credit supply to households is still higher than it should be with insufficient risk premiums and our addiction to rising house prices still remains (not to mention low real wage growth).

    OP is probably being too bearish (there's little evidence we're going to enter recession in the next year or two) however he is right to suggest that the next recession will be another big one.

    If we want a sustainable economy then we need to curtail growth in the credit supply somewhat so that house prices stall and affordability increases (in 2010-2012 mortgage lending was lower than it had been since the late 70's and the result was that outside London prices were actually falling). We also need to properly fund government spending instead of providing guarantees to the private sector from the taxpayer and finally we need to address wage growth, possibly by tying it to something like sales growth.
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    (Original post by john2054)
    Please remember one man's misfortune, is another ones camelot!
    Except it's the 99%'s misfortune is the 1% Camelot. The media is just reporting the information from economically savy bodies such as the IMF, banks and leading economic experts and other global institutions
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    (Original post by Rakas21)
    Our economy has recovered however very few lessons from the Great Recession have been learned (and the wrong lessons probably kept in the mind). We are still piling up unfunded guarantees, the credit supply to households is still higher than it should be with insufficient risk premiums and our addiction to rising house prices still remains (not to mention low real wage growth).

    OP is probably being too bearish (there's little evidence we're going to enter recession in the next year or two) however he is right to suggest that the next recession will be another big one.

    If we want a sustainable economy then we need to curtail growth in the credit supply somewhat so that house prices stall and affordability increases (in 2010-2012 mortgage lending was lower than it had been since the late 70's and the result was that outside London prices were actually falling). We also need to properly fund government spending instead of providing guarantees to the private sector from the taxpayer and finally we need to address wage growth, possibly by tying it to something like sales growth.
    Well keep your eyes on the yield curves and we'll see what happens. You're right about wage growth, increasing the minimum wage will inevitably increase spending, Henry Ford understood this all too well.

    We have to remember 2008 was not just about a fraudulent banking system with corrupt rating companies but also fools such as Alan Greenspan (can't remember how to spell his name) who created very unhelpful policies.
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    (Original post by Mr Hyde(r))
    Well keep your eyes on the yield curves and we'll see what happens. You're right about wage growth, increasing the minimum wage will inevitably increase spending, Henry Ford understood this all too well.

    We have to remember 2008 was not just about a fraudulent banking system with corrupt rating companies but also fools such as Alan Greenspan (can't remember how to spell his name) who created very unhelpful policies.
    As well as the subprime fiasco of 2008, it seemed to be a complete breakdown of the system. Which also conincided with my move to Kenya for three months. The security services clearly panicked, and look at the result. The good news is that i can't fly again, so this problem won't repeat itself in that sense again.

    I think the system still has a great deal more slack in it yet.
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    (Original post by Mr Hyde(r))
    Get ready people, 2008 was not a big enough lesson for us. The world economy is heading for another financial crisis, and it's going to be bigger, I'm not a fear mongering doomsayer, I'm a realist. Policy makers and bankers having been running the global casino for too long and now it's going to head for a tumble. Many global institutions are saying it even the famed International Monetray Fund (IMF).

    So forget immigrantion, forget terrorism forget all these problems, they're for another time because the upcoming financial crisis is coming and it's going to hit us big.

    There isn't much you can do, get your stocks out but your cash won't be worth much.

    http://www.theguardian.com/business/...city-pessimist
    (Original post by Betelgeuse-)
    Its called Gold. Buy some!
    (Original post by Mr Hyde(r))
    Mhmm, that's what the Russian millionaires/billionaires are doing. Spending 10s of millions on diamond jewelry to keep their money safe
    Mr Hyde(r) just follow this later this month the guy's good i buy most of my own gold from his used stock and can vouch for him

    http://us9.campaign-archive1.com/?u=...&id=85bbef6cb4
    Betelgeuse- the only problem is is already climbing luckily i do have some, unfortunately in not bullion grade
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    "Head for tumble" doesn't quite suit the epicness of the doom you're proclaiming will happen.
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    (Original post by Mr Hyde(r))
    Well keep your eyes on the yield curves and we'll see what happens. You're right about wage growth, increasing the minimum wage will inevitably increase spending, Henry Ford understood this all too well.

    We have to remember 2008 was not just about a fraudulent banking system with corrupt rating companies but also fools such as Alan Greenspan (can't remember how to spell his name) who created very unhelpful policies.
    The Great Recession was caused by Hydraulic Keynesianism (the belief that infinite growth in the credit supply would lead to infinite GDP growth) more than anything else which prompted the speculative real estate bubbles. The banks, government and the consumer were all equally responsible for me.

    Increasing the minimum wage only affects those at the bottom in any real way, overall real wage growth is still only about 2% which is not good enough.
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    Thanks Obama.
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    (Original post by Peroxidation)
    Well on the bright side if the economy crashes and people start losing their jobs again it'll give us yet another brilliant reason to prevent the invasion of Britain by the illegal immigrant hoards.
    hordes
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    The IMF is predicting slow / no growth, but not an outright recession. Other institutions are on the other hand being optimistic.

    But I suppose if it happens, we can all just "Let go".
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    Breaking news, something good happens.

    Oh right.
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    (Original post by Mr Hyde(r))
    Get ready people, 2008 was not a big enough lesson for us. The world economy is heading for another financial crisis, and it's going to be bigger, I'm not a fear mongering doomsayer, I'm a realist. Policy makers and bankers having been running the global casino for too long and now it's going to head for a tumble. Many global institutions are saying it even the famed International Monetray Fund (IMF).

    So forget immigrantion, forget terrorism forget all these problems, they're for another time because the upcoming financial crisis is coming and it's going to hit us big.

    There isn't much you can do, get your stocks out but your cash won't be worth much.

    http://www.theguardian.com/business/...city-pessimist
    (Original post by john2054)
    Isn't eight years long enough for our economies to recover? Afte all, surely we have learnt from the lessons of the '07 and '08 crashes, and put safeguards in place to prevent it from happening again? Such as the tightening up of the credit profiling??
    (Original post by Rakas21)
    Our economy has recovered however very few lessons from the Great Recession have been learned (and the wrong lessons probably kept in the mind). We are still piling up unfunded guarantees, the credit supply to households is still higher than it should be with insufficient risk premiums and our addiction to rising house prices still remains (not to mention low real wage growth).

    OP is probably being too bearish (there's little evidence we're going to enter recession in the next year or two) however he is right to suggest that the next recession will be another big one.

    If we want a sustainable economy then we need to curtail growth in the credit supply somewhat so that house prices stall and affordability increases (in 2010-2012 mortgage lending was lower than it had been since the late 70's and the result was that outside London prices were actually falling). We also need to properly fund government spending instead of providing guarantees to the private sector from the taxpayer and finally we need to address wage growth, possibly by tying it to something like sales growth.
    (Original post by thunder_chunky)
    Thanks Obama.
    (Original post by LibertyMan)
    The IMF is predicting slow / no growth, but not an outright recession. Other institutions are on the other hand being optimistic.

    But I suppose if it happens, we can all just "Let go".
    My economic expertise is limited, but my common sense isn't. The U.S. is at about $20 trillion in debt with Puerto Rico needing a bailout and some U.S. states will probably follow. Europe is worse shape with equally unsustainable debt, Greece needing to be supported, and a refugee crisis as well. I believe that amount of debt is unsustainable and it will ultimately be defaulted. What does the world look like when that happens? It won't just be a do-over. That debt represents pensions, operating capital, infrastructures, and personal wealth. I don't think it will be another recession, I think it will be a depression like no other.
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    This kind of fear mongering actually means that the process is doomed to happen. 1920s America: Suddenly everyone says take out your shares and it destroys the economy.
    (Original post by Mr Hyde(r))
    Get ready people, 2008 was not a big enough lesson for us. The world economy is heading for another financial crisis, and it's going to be bigger, I'm not a fear mongering doomsayer, I'm a realist. Policy makers and bankers having been running the global casino for too long and now it's going to head for a tumble. Many global institutions are saying it even the famed International Monetray Fund (IMF).

    So forget immigrantion, forget terrorism forget all these problems, they're for another time because the upcoming financial crisis is coming and it's going to hit us big.

    There isn't much you can do, get your stocks out but your cash won't be worth much.

    http://www.theguardian.com/business/...city-pessimist
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    (Original post by ckingalt)
    The U.S. is at about $20 trillion in debt with Puerto Rico needing a bailout and some U.S. states will probably follow. Europe is worse shape with equally unsustainable debt, Greece needing to be supported, and a refugee crisis as well. I believe that amount of debt is unsustainable and it will ultimately be defaulted.
    You will enjoy watching Fight Club.
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    (Original post by the bear)
    hordes
    Yea, that. I'm not great at spelling.
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    (Original post by Mathemagicien)
    True

    That's often the problem with predictions; the self-fulfilling prophecy
    I wonder what would happen if people didn't fear monger! Would the situation be better? Probably! XD
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    (Original post by Mr Hyde(r))
    You sadistic person. The phrases 'bright side' and 'economy crashing' don't go together. Millions upon millions of jobs lost resulting in millions and millions homeless. Which in turn results in thousands of deaths.
    No it doesn't. If the economy experiences a complete global collapse, who are people going to pay their mortgages to? The banks that might as well no longer exist?

    And what are they going to pay them with, money that might as well be toilet paper?

    People will still have their houses. If the economy collapses then it's absurd to assume that society will still operate under the rules of an economy that no longer exists. Ergo, your prophecy is invalid.

    All that will happen, and although I say that lightly I don't mean it in such a way, is a new form of economy taking place. In the short term, it's likely that the barter system will be put in place by society for general ease until whoever's in charge (if anyone) figures out a better way of trade.

    Gardens will become prime real estate as a means for growing your own crops and, if you have one big enough, raising your own cattle. People whose jobs are practically beneficial will live like relative kings due to their trade actually being helpful compared to office workers in this "new world".

    Even if you think the above is unrealistic, at least I've thought it through.

    By the way, does anyone know how any farming techniques? I'm asking for a friend :ninja:
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    (Original post by ODES_PDES)
    Good thing I am worth sod all. No?
    Well that's not how it works, the price of everything with simply skyrocket, could you pay £100 for loaf of bread........ not that I believe this will actually happen.

    At the very least we can support ourselves in the UK if economic Armageddon comes along, we can simply make our own bread and house ourselves. We have been doing it for thousands of years

    Places like Africa will be the countries to suffer when the rest of the world isn't supporting them, our money would be worthless and we can't bake everyone bread, our fields aren't big enough. We wouldn't be able to post them over doctors and teachers or soldiers, famine, war and something akin to ebola would wipe most o the continent's population out.
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    (Original post by Rakas21)
    The Great Recession was caused by Hydraulic Keynesianism (the belief that infinite growth in the credit supply would lead to infinite GDP growth) more than anything else which prompted the speculative real estate bubbles. The banks, government and the consumer were all equally responsible for me.

    Increasing the minimum wage only affects those at the bottom in any real way, overall real wage growth is still only about 2% which is not good enough.
    How about the people who took out the mortgages with no way to pay. I'm generally interested in your input.

    I was under the impression that the the banks were (specifically in America) encouraged to provide those living on welfare an option to to get mortgages, then mortgaged debt was packed up and traded as currency between banks. When they realized these debt packets were essentially worthless the recession followed.

    Is that even close to the truth?
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    Forget terrorism and it wouldn't matter if there was an economic crisis because we'd all be dead.
 
 
 
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