Financial Woes - Page 4

**Arcángel** · 07-15-2008, 08:48 AM

So as I was flipping around the Internet radio dial today and I tuned into NewsRadio KNX 1070 in California. Looks as if they have one hell of a bank crisis there.

First, the story from KNX 1070's latest breaking news.

Angry Mob at Encino IndyMac
Police have been called in to tame an angry throng of IndyMac Bank customers trying to pull money out of the Encino branch on Day 2 of a federal bank takeover.

At least three police squad cars showed up early Tuesday as tensions got heated outside the San Fernando Valley branch of Pasadena-based IndyMac.

Federal regulators seized Pasadena-based IndyMac on Friday and they opened yesterday under the control of the Federal Deposit Insurance Corporation. Deposits to $100,000 are fully insured by the FDIC.

And now, KNX Business Hour 7.14.2008
KNX - KNX Business Hour 7.14.2008

Now, taking all of this into account, the fed is still saying that our financial system is "basically sound". What do you think?

I R DANIEL (Sin · 07-22-2008, 10:31 PM

Quote:

Originally Posted by Brother of Yeshua

I'm not trying to scare anyone, I think people just need to be aware that it's a distinct possibility that we will either have another depression like era, or also possibly be forced into a new international currency, but that's not on topic.

The national debt does play a role, because the government is part of the economy. The bailouts they take part in are essentially them fucking with the market. Leaders (in general) in this country refuse to deal with the economic consequences of some of the bad choices made by either companies themselves or by policy voted in. We prop up bad decisions instead of allowing the natural course of the market to take effect.

You're right about the housing bubble, but that's just one of many bubbles we've been keeping afloat. What happens when they all start popping, as they inevitably will?

the US's national debt is not even that bad. everyone makes it seem a lot worse than it actually is. as a percentage of total GDP, the US's national debt is far better than countries such as italy, japan, canada, germany, and other western nations.

and you know, we did allow the market to take take it's natural course once. and the great depression was a result of it. it's the classic argument of lassiez faire or government intervention. history has proven that the financial well being of a country involves government intervention. and the government just doesn't give these companies money. they loan it out to them with special agreements, such as zero interest for x amount of years.

what happens will bubbles pop? people lose, but things soon go back to normal. bubbles are created by speculators and investors. average people like you and me.

again, we are not headed into a depression. the "recession", or slowdown of the economy is very very very small.

**Brother of Yeshua** · 07-23-2008, 06:26 AM

I sincerely hope you're right, but strongly suspect otherwise.

**Opunaya** · 07-23-2008, 06:30 AM

Yeah, with government help, the econonmy is alright, but since Congress and the Senate are too busy jerking each other off worrying about the environment two hundred thousand years into the future...they're not worried about doing anything to help people out now.