Hold on to your britches boys and girls!

[odeezie]

We are in for a rough ride!

Bailouts Will Push US into Depression: Manager - General * Europe * News * Story - CNBC.com (http://www.cnbc.com/id/26656750)


Bailouts Will Push US into Depression: Manager
By CNBC.com | 11 Sep 2008 | 09:11 AM ET

The end result of the global economic slowdown may be the U.S. announcing national bankruptcy as the government cannot afford the bailouts that it promised and the market will not bail out the government, Martin Hennecke, senior manager of private clients at Tyche, told CNBC on Thursday.
"We expect a depression in the United States. We expect a depression, very possibly, also in Europe," Hennecke said on "Worldwide Exchange."

CLICK HERE TO WATCH THE VIDEO (http://www.cnbc.com/id/26656750)

The estimated $300 billion cost of the Fannie/Freddie bailout will probably be considered as a loss that the government will have to take, therefore passing it on to taxpayers, he explained.
"We already have $3 trillion of debt, as far as the U.S. government is concerned. These debt figures across the U.S. economy are rising very sharply."
When the government can no longer pass the United States' "immense debt" on to taxpayers, it will turn to the holders of U.S. dollars, leading to the eventual downfall of the currency, Hennecke said.
"Definitely, it (the dollar) is not a safe place to be invested in, as real inflation is closer to 10 or 11 percent than the actual inflation numbers given by the U.S. government," Hennecke said on "Worldwide Exchange".

Investors should avoid exposure to debt and stay away from leveraging on any investment or asset, including property, Hennecke advised, adding that "banks have been too highly leveraged in the past, private households, everybody."
Hennecke's stock allocations are mainly Asian-based, especially in the Chinese market as the country's government has a large amount of cash and the macroeconomics are fundamentally strong.
He also suggested investing in gold, despite the recent fall in price.
© 2008 CNBC.com

[CR125guy]

We are in for a rough ride!

Bailouts Will Push US into Depression: Manager - General * Europe * News * Story - CNBC.com (http://www.cnbc.com/id/26656750)

If the prez wants to bail these ****ing corporations out, it should come from his personal bank account as well as the personal accounts of all our congress. Why is it now my problem the loan companies were ****ting out loans to anyone who asked for one. 300 billion dollars is a lot of freaking money! How many gang task forces could we have added to our streets. How many uneducated kids (future of america) could have been sent to college? How many bullet proof vests and armored cars for our troops could that have bought? How many new cures and treaments could have been tested with that amount of money? Hell how many homeowners could get there homes back for that much? I guess I'm saying this money could have been better spent. And now we gotta eat it.

[odeezie]

I think depression is exactly what Americans need in order to get pissed off enough to hold Washington responsible. I think it is the only thing that could bring down the current two party system which has proven to be grossly corrupt, innefficient, and inneffective.

Im just trying to figure out where to hide my money during this time :eek6:

[sharkmx62]

I think depression is exactly what Americans need in order to get pissed off enough to hold Washington responsible. I think it is the only thing that could bring down the current two party system which has proven to be grossly corrupt, innefficient, and inneffective.

Im just trying to figure out where to hide my money during this time :eek6:
I'll hold it for you buddy!

[odeezie]

I'll hold it for you buddy!

I dont know man...you cant even seem to hang onto your vcash ;-):lol:

[offspring22]

oh hi remember me enjoy your fail

http://startnow72.files.wordpress.com/2008/06/ron_paul_500px.jpg

[odeezie]

Has anyone had the chance to see this film?

I.O.U.S.A.: The Movie (http://www.iousathemovie.com/)

[sharkmx62]

I dont know man...you cant even seem to hang onto your vcash ;-):lol:
haha, dang, cheap shot son. Its cool though, im just gonna double your money for you! Its odds man, ive lost enough, im bound to start winning, I have too!

[CR125guy]

oh hi remember me enjoy your fail

http://startnow72.files.wordpress.com/2008/06/ron_paul_500px.jpg


He made too much sense, seems like Americans aren't ready to vote for someone that makes sense :upset:

America was intended to be a republic, thats what our founding fathers wanted. Who the hell threw in this democracy ****, cuz it don't work!

RON PAUL 08 :D

[NV825]

He made too much sense, seems like Americans aren't ready to vote for someone that makes sense :upset:

America was intended to be a republic, thats what our founding fathers wanted. Who the hell threw in this democracy ****, cuz it don't work!

RON PAUL 08 :D
I'm penciling him in still :usa:

[Demon]

The US is not going into a depression chicken littles. Now if the government didn't bailout these major lenders we would be on the fast track to bread lines and unless you have more than 100k tied up in any bank you have little to worry about if your bank goes belly up.

[offspring22]

The US is not going into a depression chicken littles. Now if the government didn't bailout these major lenders we would be on the fast track to bread lines and unless you have more than 100k tied up in any bank you have little to worry about if your bank goes belly up.

Some of us have $100k tied up in the bank :no:





:lol:

[odeezie]

The US is not going into a depression chicken littles. Now if the government didn't bailout these major lenders we would be on the fast track to bread lines and unless you have more than 100k tied up in any bank you have little to worry about if your bank goes belly up.

Dude, I wouldnt be so sure. Right now we are able to continue borrowing $$ to put off the pain until another day. But, how long can you run an economy based on fiscal deficits, trade deficits, banking/financial collapse, industrial/manufacturing collapse, etc? I doubt that we can maintain that very long.

[Demon]

I don't see the fall in output and production that is necessary for a depression. What we are going through now is the hangover from this country being drunk on credit. Output is what caused the depression in the 30's not debt. The GDP fell 29% in 3 years, I don't see that happening again.

[odeezie]

I don't see the fall in output and production that is necessary for a depression. What we are going through now is the hangover from this country being drunk on credit. Output is what caused the depression in the 30's not debt. The GDP fell 29% in 3 years, I don't see that happening again.

I hope you are right, but I think this is going to be much more than just a hangover from excess credit. We are experiencing stagnant wages, increased energy costs, a pre existing $9 trillion national debt ($406B/ year paid in interest), an expensive war, personal savings at it's lowest since the depression, increasing unemployment, a JP Morgan bailout, a potential Lehman bros bailout, Auto bailout, eventual airline bailout. All of this is adding up and it is not looking pretty. We borrow or print to keep the lights on, but in the end that only pushes inflation through the roof by devaluing the currency.

[Triple Five]

I feel for the people that are getting close to retirement who's money is losing value by the second.

[sharkmx62]

I feel for the people that are getting close to retirement who's money is losing value by the second.
Poor Case

[CR125guy]

Maybe not a depression yet, but definitely a recession. I'm going to Europe next month, a few years ago my dollar would have been worth just a little over a dollar, I just checked the exchange rate a few weeks ago, its barely worth 55 cents. I might as well bring pesos with me. Good new is a I have a friend in Italy. Apparently the people there think the value of the dollar will go up once Bush is gone, so I can get more for it if I pay with straight American cash. Still not worth a dollar, but it will be more than 55 cents.

[offspring22]

Still no recession, either.

[Demon]

Moderate tax increases and budget cuts will cut the deficit, but everyone *****es about tax increases. Yet they all break out their plastic American flags and get all gung ho for going to war but when it comes time to pay for it everyone screams bloody murder. We've have spent so much in the last 8 years it is ridiculous. Yay he didn't raise taxes hurrah for him, meanwhile he spending us into oblivion. :no: Is it January yet?