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http://www.ft.com/cms/s/0/ee21ddbc-f08b-11...?nclick_check=1

Governments might have to intervene with taxpayers’ money to shore up the financial system and prevent a “downward credit spiral” from taking hold, the International Monetary Fund said on Wednesday. John Lipsky, the IMF’s first deputy managing director, said: “We must keep all options on the table, including the potential use of public funds to safeguard the financial system.

(...)

Mr Lipsky said: “I fully recognise an appropriate role for public sector intervention after market solutions have been exhausted.” He urged policymakers to “think the unthinkable” and prepare now for what they would do if the worst case scenarios materialised and “low probability but high impact events” threatened to jeopardise global financial stability.”

Edited by Timm

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Guest vicmac64
I like his cheek,

'bail us out we've been greedy',

I've got a better idea

'you've been greedy, GO TO JAIL!'

I have great idea as well - LOSE ALL THEIR ILL GOTTEN ASSETS AS WELL - they come back into the exchequer to recompense those that have had pensions savings decimated by inflation.

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That would go down in the history books as the greatest and most unfair theft ever carried out in the history of mankind. There would have to be some backlash.

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Claw back the bonuses and stock sales by insiders who knew exactly what they were doing - a lot of which were based on fraud.

That would be a start.

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That would go down in the history books as the greatest and most unfair theft ever carried out in the history of mankind. There would have to be some backlash.

I'm pretty sure there will be a backlash when the general public understand it.

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So you can be sure they will spend further millions ensuring that the general public never do.

I think the cat's out of the bag. The general public can't fail to notice when there's a huge recession/depression, everyone is losing their jobs and the City of London has been decimated. Everyone knows deep down that the past 10 years have been years of excessive debt fueled consumption. They will probably come to the wrong conclusions but they will certainly be very angry.

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Guest An Bearin Bui
Mr Lipsky said: “I fully recognise an appropriate role for public sector intervention after market solutions have been exhausted.” He urged policymakers to “think the unthinkable” and prepare now for what they would do if the worst case scenarios materialised and “low probability but high impact events” threatened to jeopardise global financial stability.”

It would be hilarious if it weren't so tragic - the IMF has been preaching free market orthodoxy for decades and imposing tough financial conditions on developing countries to oblige them to open up their markets to free trade. As soon as things turn nasty in the rich world, however, and the magical free market starts to turn against the super-rich, it's suddenly time for government intervention and public money. I thought these people reviled government intervention? Aren't the Reaganomics supporters at the IMF the ones who always quote his saying "The scariest phrase a citizen can hear is 'I'm from the government and I'm here to help'"?

Now suddenly they want the government to show up and say they're here to help after all. When will these free market fetishists realise that markets work best when supported by stable government, solid regulation and transparency?

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I'm pretty sure there will be a backlash when the general public understand it.

The British public of this generation are not the same as previous generations (who fought wars and did not tolerate this sort of thing). The only reason this is happening is that the politicians know they can get away with it.

New Labour are complicit in this unprecedented fraud.

Finally, note craefully, the bankers own the government. Few governments would dare to take them on. Labour are arguably spineless and incompetent. The last time they were in power, they nearly bankrupted this country (1970's). They are doing the same again, with their mickey mouse projects that are executed with juvenile levels of incompetence.

What's the worst that will happen to these charlatans, they get voted out but still get thier lavish pensions.

People, expect hard times due to their incompetence, and your silence when it was happening. The bankers are the ruling class, you are not; know your place; they must be protecetd at all costs.

Finally, the french would never have tolerated anythning like this; looks like they do not own a monopoly on the label 'cheese eating surrender monkeys'

Bob

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The British public of this generation are not the same as previous generations (who fought wars and did not tolerate this sort of thing). The only reason this is happening is that the politicians know they can get away with it.

The current generation is very good at following new fads and fads that have a retro flavour. That's why I can't wait for the retro art of chucking petrol bombs to make a return. A few years of hard times and electronic gadgets will be replaced by flammable gadgets.

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Finally, note craefully, the bankers own the government. Few governments would dare to take them on. Labour are arguably spineless and incompetent. The last time they were in power, they nearly bankrupted this country (1970's). They are doing the same again, with their mickey mouse projects that are executed with juvenile levels of incompetence.

What would be the counter argument? :lol:

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I like his cheek,

'bail us out we've been greedy',

I've got a better idea

'you've been greedy, GO TO JAIL!'

Wow.. Thanks.. seems I've found a few sane people on this forum.

Please let us all make an example of these greedy gits, and when you see one crawling along threadneedle street, don't forget to stamp on his fingers....

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The whole thing is laughable. Whislt money was pouring in and bonuses were enormous the cry from the city was "we take enormous risks we deserve our bonuses". NOw that they're going under they insist that it is our responsibility (the taxpayer) to bail them out for our good. The sad thing is that most people cannot even see the hypocricy/inconsistency of this.

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What would be the counter argument? :lol:

Save during the good times, tax breaks during the hard times.

Instead this lot (who have never had proper jobs nor could get them) do the opposite.

Anyhow, there is little to be done now. Hard times are ahead.

Personally, I am a believer in smaller government.

Bob

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It would be hilarious if it weren't so tragic - the IMF has been preaching free market orthodoxy for decades and imposing tough financial conditions on developing countries to oblige them to open up their markets to free trade. As soon as things turn nasty in the rich world, however, and the magical free market starts to turn against the super-rich, it's suddenly time for government intervention and public money. I thought these people reviled government intervention? Aren't the Reaganomics supporters at the IMF the ones who always quote his saying "The scariest phrase a citizen can hear is 'I'm from the government and I'm here to help'"?

To be fair to the IMF they have been issuing polite warnings for years about overvalued property around the world and the potential downsides to credit booms. But since we (well not us obv) were all so caught up in how awesome it is to make money on houses they were ignored in favour of the likes of Dom and Kirsty.

Now suddenly they want the government to show up and say they're here to help after all. When will these free market fetishists realise that markets work best when supported by stable government, solid regulation and transparency?

Deflationary busts are not pretty and the current thinking, based on the ideas of Anna shwartz and Milton Friedman, requires massive government intervention early on to turn a depression into merely a very severe recession. Bailing out the wall street pigmen- i love that word- is as galling for them as it is for you and I; but there is simply nothing else to do- a strong moral stance probably leaves us in the Greater Depression. The question, it seems, is how much of the real economy is to be sacrificed to save the financials- or rather how much of the financial sector do we need to keep the rest of the economy running?

I have a much bigger problem with thier imposition of free markets and unfair competition on the third world but they have been one of the few voices of reason throughout this debacle IMO.

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Next pointless waisting of money. They can change something for a while, but nothing more. System is broken, each month brings more and more loses due to falling house prices, wrongly choosen investments, too much leveraged take overs, excessive use of derivatives - nobody can stop that.

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That would go down in the history books as the greatest and most unfair theft ever carried out in the history of mankind. There would have to be some backlash.

ABSOLUTELY SPOT ON!

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The only appropriate public sector involvement I can forsee is to put these spiv's and fraudsters up against a big wall and shoot the lot of them ! :ph34r:

Screaming for bail outs after they have taken down the economy would be tragic if it wasn't for the fact that they actually believe they can still buy off politicians to help them. Of course our NuLab Govt are made of stronger stuff...

Edited by sikejsudjek

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Finally, the french would never have tolerated anythning like this; looks like they do not own a monopoly on the label 'cheese eating surrender monkeys'

Bob

don't get ahead of yourself cowboy, the French are in for a storm as big as the UK's.

their banking system is just as much of a joke (as evidenced by Societe Generale), and they will have their own reckoning.

the entire EU is likely to be facing as big a crisis as America or Britain.

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The British public of this generation are not the same as previous generations (who fought wars and did not tolerate this sort of thing).

father_ted_down_with_this_sort_of_thing.jpg

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It would be hilarious if it weren't so tragic - the IMF has been preaching free market orthodoxy for decades and imposing tough financial conditions on developing countries to oblige them to open up their markets to free trade. As soon as things turn nasty in the rich world, however, and the magical free market starts to turn against the super-rich, it's suddenly time for government intervention and public money. I thought these people reviled government intervention? Aren't the Reaganomics supporters at the IMF the ones who always quote his saying "The scariest phrase a citizen can hear is 'I'm from the government and I'm here to help'"?

Now suddenly they want the government to show up and say they're here to help after all. When will these free market fetishists realise that markets work best when supported by stable government, solid regulation and transparency?

so true, when it goes well government intervention isnt wanted, when crap hits the fan its open arms.

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  • 293 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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