New_Renter Posted January 19, 2009 Share Posted January 19, 2009 will the bailout work do we think. will the sheeple believe the media and all this junk this week about prices near the bottom as there has been loads of it. will the bailout get the banks and NR lending again at silly levels have the manadged to stop the crash by throwing money at it once again??? Quote Link to comment Share on other sites More sharing options...
Shrink Proof Posted January 19, 2009 Share Posted January 19, 2009 "So After Today My Question Is, will it work?" No. Next question please. Quote Link to comment Share on other sites More sharing options...
New_Renter Posted January 19, 2009 Author Share Posted January 19, 2009 some info as to why please lol, i am not very savvy on economics so a little more woudl help please Quote Link to comment Share on other sites More sharing options...
Y-QUERK Posted January 19, 2009 Share Posted January 19, 2009 will the sheeple believe the media and all this junk this week about prices near the bottom as there has been loads of it. Dunno, Big bruz iz on mate. Quote Link to comment Share on other sites More sharing options...
50%deposit Posted January 19, 2009 Share Posted January 19, 2009 same old same old i think its all BS evil government. etc etc. rich stay rich, stupid idiots stay stupid idiots sat at home on their own wishing they were dead. same old. wish i had an outdoor swimming pool Quote Link to comment Share on other sites More sharing options...
darwin Posted January 19, 2009 Share Posted January 19, 2009 Of course it won't work. Nothing's working. Quote Link to comment Share on other sites More sharing options...
Bloo Loo Posted January 19, 2009 Share Posted January 19, 2009 3 million wont work either Quote Link to comment Share on other sites More sharing options...
New_Renter Posted January 19, 2009 Author Share Posted January 19, 2009 not yet the eviction is at 2200. i think that sheeple will go and buy if they think prices will rise and we may see more transactions now that the banks are lending again but i do think they wont lend as freely as before so we can see slower price reduction thatn the 2% we have been having. Quote Link to comment Share on other sites More sharing options...
scuuzeme Posted January 19, 2009 Share Posted January 19, 2009 will the bailout work do we think.will the sheeple believe the media and all this junk this week about prices near the bottom as there has been loads of it. will the bailout get the banks and NR lending again at silly levels have the manadged to stop the crash by throwing money at it once again??? Has it worked in the USA? Apparently not. I guess time will tell, but I have an awful feeling that it's not going to. Actually, I have no real objection to money going to good businesses (Though little confidence in the governments ability to do so), but I have a real big one to attempting to directly prop up house prices. Quote Link to comment Share on other sites More sharing options...
mikthe20 Posted January 19, 2009 Share Posted January 19, 2009 3 million wont work either and some. Quote Link to comment Share on other sites More sharing options...
New_Renter Posted January 19, 2009 Author Share Posted January 19, 2009 i suppose i was asking for some re-assurance really that they have not re-inflated the bubble as as much as this crash hurts Joe Bloggs i want a house cheaper than what they are today and in 6 months time. there has been so much i nthe news this week about green shoots etc and all i hear from sheeple is its ok they wont let it get any worse etc Quote Link to comment Share on other sites More sharing options...
copydude Posted January 19, 2009 Share Posted January 19, 2009 3 million wont work either Quote of the day. And as we know, it's at least 6 million 'economically inactive' as we speak. There simply aren't enough working, tax paying taxpayers to back up these 'taxpayer backed' plans. It's not hard to do the math is it. Quote Link to comment Share on other sites More sharing options...
jonpo Posted January 19, 2009 Share Posted January 19, 2009 no yes probably not ok maybe but only it they also trash the gilts market Quote Link to comment Share on other sites More sharing options...
heather5 Posted January 19, 2009 Share Posted January 19, 2009 No it won't work - did anyone sensible here think it would? Quote Link to comment Share on other sites More sharing options...
?...! Posted January 19, 2009 Share Posted January 19, 2009 Quote of the day. And as we know, it's at least 6 million 'economically inactive' as we speak.There simply aren't enough working, tax paying taxpayers to back up these 'taxpayer backed' plans. It's not hard to do the math is it. No it doesn't work there is no magic bullet. You cannot lend money at zero cost to the txpayer/economy. We simply need to work harder in return for less until we recover the mounting losses (so far 1-2 years of GDP). And still they continue to add debt. This equates to zero net growth for a couple of decades. Quote Link to comment Share on other sites More sharing options...
50%deposit Posted January 19, 2009 Share Posted January 19, 2009 i think he main reason it wont work is because house prices are still way too high. unfortunatly, house owners are generally the people in power. which means that htey are all pulling together to keep house prices high. The people that cant afford generally have no power. If the goverment had any integrity inatead of baliing banks out, they would aggressivly act to lower house prices and stop multiple property ownership. For a fraction of what they are spending they could pass legislation to dictate the value of a house which provision for variation regarding quality. It would then be illegal to sell higher than that price. somehow i dont think that would work, and the government would probably value too high, but I would envisage 1 bed flats costing £50k in the south and £20k in the North, and scaling up from there. Making property affordable to everyone from the roof over head basis. Quote Link to comment Share on other sites More sharing options...
jonpo Posted January 19, 2009 Share Posted January 19, 2009 This equates to zero net growth for a couple of decades. its not likely to come as a long period of stagnation though is it ?... the economy is recursive and subject to newtons first law.. Quote Link to comment Share on other sites More sharing options...
rollercoaster Posted January 19, 2009 Share Posted January 19, 2009 I guess it depends on what you mean by work? I think it might work - in so far as it will potentially stop banks from going under, but I don't think it'll restore crazy lending, nor stop the current fall in house prices. easing credit won't stop the recession, it might just lessen the severity of the decline. Simple fact is personal debt in the UK is too high, and needs to reduce, house prices are still to high and have a way to fall yet. Quote Link to comment Share on other sites More sharing options...
?...! Posted January 19, 2009 Share Posted January 19, 2009 its not likely to come as a long period of stagnation though is it ?... the economy is recursive and subject to newtons first law.. No we wont see consistant flat growth for consecutive years, we will see a flat or falling consumption trend though. Although obviously there will be lots of ups and downs. I think it's best described as a kind of post anaerobic phase. It's what happens when you exhaust a source that cannot be replenished for a long period. i.e. many have sold their future earnings by accumulating large debts. The scope for selling these future earnings will not be replaced until younger people replace the current heavily endebted working populace. Which takes a long time. And is way beyond the power of any mere government. Quote Link to comment Share on other sites More sharing options...
SarahBell Posted January 19, 2009 Share Posted January 19, 2009 countdown told it like it is. the one show did something too didn't they? and then watchdog. It's mainstream media now and the sheeple will know it's not going to work. Quote Link to comment Share on other sites More sharing options...
Ted Posted January 19, 2009 Share Posted January 19, 2009 (edited) countdown told it like it is. the one show did something too didn't they? and then watchdog. It's mainstream media now and the sheeple will know it's not going to work. The sheeple don't care, most have debts (? Yes I know savers are supposed to outnumber debtors by 7:1), they think if the banks fail their mortgages get written off. No kidding. Edit - sorry, spelling. Tired of my endless edits..... Edited January 19, 2009 by Ted Quote Link to comment Share on other sites More sharing options...
The Ayatollah Buggeri Posted January 19, 2009 Share Posted January 19, 2009 easing credit won't stop the recession, it might just lessen the severity of the decline. Preferably (for Gordon) until after the election. Quote Link to comment Share on other sites More sharing options...
Guest vicmac64 Posted January 19, 2009 Share Posted January 19, 2009 No - indeed today he sealed the fate of sterling and the UK - we are finished now.................. We could never hope to cover the losses of these thieving corrupt bankers. I have said it before - the markets will fall, the currencies will fall, our economy will fall - the people will be at a total loss... And then they will offer their solution.. This is what is going to happen in my humble opinion. What do you value - FREEDOM or indebted slavery? Quote Link to comment Share on other sites More sharing options...
Guest Steve Cook Posted January 19, 2009 Share Posted January 19, 2009 (edited) will the bailout work do we think.will the sheeple believe the media and all this junk this week about prices near the bottom as there has been loads of it. will the bailout get the banks and NR lending again at silly levels have the manadged to stop the crash by throwing money at it once again??? No, they have merely increased the chance of it being a monetary inflationary one as opposed to a monetary deflationary one Reality doesn't change just because you have changed the way you describe it. Or, to put it another way. Increasing the money supply doesn't make the losses go away. It does, however, dictate who exactly picks up the bill. Edited January 19, 2009 by Steve Cook Quote Link to comment Share on other sites More sharing options...
Bloo Loo Posted January 19, 2009 Share Posted January 19, 2009 No, they have merely increased the chance of it being an monetary inflationary one as opposed to a monetary deflationary oneReality doesn't change just because you have changed the way you describe it. Or, to put it another way. Increasing the money supply doesn't make the losses go away. It does, however, dictate who exactly picks up the bill. cant see this new money going anyware but into the banking system. Their asset losses are absolutley huge. COnsider 110bn of mortgages EVERY MONTH for the last 8 years. Then theres credit card debt, leveraged purchases of worthless financial assets..... too big a hole to fill. Quote Link to comment Share on other sites More sharing options...
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