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chichi

Is There A Way Out Of The Mess?

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Does the economy have to go into meltdown? Can it be stopped?

What's the answer to stop it happening again? Is the world on the brink of major global disaster or are the aliens about to bring us the secret of free energy? (Well it'd explain why they want to get top whack on oil prices now before their market evaporates)

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Does the economy have to go into meltdown? Can it be stopped?

What's the answer to stop it happening again? Is the world on the brink of major global disaster or are the aliens about to bring us the secret of free energy? (Well it'd explain why they want to get top whack on oil prices now before their market evaporates)

The government need to sack the millions of 'hangers on' they have been recruiting and people need to go back to doing normal work. There is no quick fix.

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Have you tried switching it off and back on again?

I think Alistair Darling has been considering outsourcing the UK economy to India, which would make it cheaper to run and more attractive to global consumers.

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Does the economy have to go into meltdown? Can it be stopped?

What's the answer to stop it happening again? Is the world on the brink of major global disaster or are the aliens about to bring us the secret of free energy? (Well it'd explain why they want to get top whack on oil prices now before their market evaporates)

Well, after listening to some of the Radio 5 phone in this morning the answer seems to be that someone needs to do something to make the banks lend us endless amounts of money again and when they do lend it to us they should stop charging "such ridiculously high" interest rate charges. The interest rate is now "too high" and should the BOE needs to reduce it.

Once we get access to more cheap money again everything will be ok.

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All of the worlds govts are going to have to write off debt. I simply can't see there being enough money in the global economy to cover the losses of the collapsing assets.

The problem with this is the rich will resist as they no longer be worth 50bn they may have to do be only being worth 500m. Psychologically this will prove very difficult.

As for the hangers on, well they have helped fund the boom in the "real" economy by borrowing money they can't possible pay back and keeping people in "real" economic work.

It's dire, it's screwed someone needs someone to think outside the box.

The first course of action should have been 0% interest rates but repayments frozen at current levels to pump money back into the banks to stop the unwinding and collapse. I know for those obsessed with yield curves etc... this wouldn't make sense yes profit would be lost but this is a DEBT problem, the only to solve a DEBT problem is to pay the money back or you have bankruptcy and none of the money paid back, which equals huge losses. So the choice is simply, you either take a huge loss or try to recover some or all of your money. This still wouldn't save the economy but would allow a more structured landing rather than a complete implosion which we are probably going to see.

The economic problem we are facing are massive losses which is why the banks are no longer lending. The banks have screwed the system so the only solution is to try and get the money back.

Bankruptcy is the get out jail free card, repayment is the moral hazard.

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It appears that the common demonitator is the 'Global Economy'. Is the way out to become a little less 'Global'. After all, could we do without those countryless parasites (no names, no pack drill) squeezing the economic life out of ordinary people?

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In answer to the thread title - a 3 trillion pound balance of trade surplus in a non-debased currency (say gold to avoid ambiguity) over the next 12 months would probably see us OK. Not likely to happen though!

p-o-p

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Debt based system requires constant expansion of debt.

The debt bubble has burst.

De-leveraging is the new word du jour.

A nice bit of hyper-inflation would help, but unfortunately it's looking like the powers that be won't let inflation filter through to wages, as then they wouldn't be able to afford that yaught they want for Christmas.

Other than that it's mass default, but that too would be bad.

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The way out is to create another bubble.

You know it, they know it, we all want another gravy train.

We are revolted by the idea we have to now have to give up on flipping properties, or BTL, and have to go out and get a real job to pay back all this debt.

No we need more speculation, easy money for no work. Arm chair investors, gamblers, unite!

We need something to rollover all this debt onto, something divine, cheap, a dead cert, a winner! We need more greater fools who lost out on tech stocks, and now property to unload this crap onto...

Edited by notanewmember

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The government need to sack the millions of 'hangers on' they have been recruiting and people need to go back to doing normal work. There is no quick fix.

Just who exactly are the hangers on???

Teachers

Police

Nurses

Doctors

Fireman

Binmen

Street cleaners

The taxman :)

Politicians

And can you please elaborate what normal work is?

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Just who exactly are the hangers on???

Teachers

Police

Nurses

Doctors

Fireman

Binmen

Street cleaners

The taxman :)

Politicians

And can you please elaborate what normal work is?

I would suggest that any of the regular "golden trough" nominees from whoever collates them on this board could be candidates.

All the diversity officers etc.

The other arguement could be that there are many people in Local and National Goverment employment who seem to have very large salaries for what they seem to have to do.

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In answer to the thread title - a 3 trillion pound balance of trade surplus in a non-debased currency (say gold to avoid ambiguity) over the next 12 months would probably see us OK. Not likely to happen though!

p-o-p

The old fashioned answer would be a good strong dose of inflation (sparked by defecit spending from govt.) to bring the value of debts back into line with incomes.

Unlikely now what with BoE independance and the expectation augmented Phillips curve etc.

Two or three year of recession/below trend growth with rising unemployment looks like the only club in the bag to me at the moment.

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IMO...

1) Raise interest rates.

2) Reduce money supply.

3) Cut public spending.

That's what Thatcher did in the early Eighties to stop the inflationary spiral the last Labour Government left us with.

Sadly this will probably finish off what is still left of our meagre manufacturing base.

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Bankruptcy figures are set to explode next year. Fortunately the Govt made it easier for them to go bankrupt with the introduction of the Enterprise Act 2003.

The average return from a bankruptcy is 5p in the £. The more people who are pushed towards bankruptcy instead of trying to repay there debts, the worse it will be.

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'Other than that it's mass default, but that too would be bad.'

Isn't this inevitable; how far can you go propping up your mortgage payments with your credit card? This IS going to happen, bad or not.

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Does the economy have to go into meltdown? Can it be stopped?

What's the answer to stop it happening again? Is the world on the brink of major global disaster or are the aliens about to bring us the secret of free energy? (Well it'd explain why they want to get top whack on oil prices now before their market evaporates)

I think we need to get 10,000 of the World's most beautiful women, stick them in an underground bunker with enough provisions, champagne, skimpy lingerie, PS3s, leather crops and the World's biggest DVD collection of films and sporting events... and then just lie low for, oh, 40 or 50 years mein fuhrer!

Obviously only a handful of males will be needed to repopulate the planet after the economic meltdown so I suggest we pick, what shall we say, 500 of the top HPCers to willingly go into the bunker. It would be tough, it would be a sacrifice but I am sure some of us would be prepared to suffer inside with that burden upon us knowing of the economic maddness outside. Sieg heil!

OK, Peter Sellers does it better - it s the accent, the wheelchair and all that. Maybe we could ask Stephen Hawking if he is busy?

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Just who exactly are the hangers on???

Teachers

Police

Nurses

Doctors

Fireman

Binmen

Street cleaners

The taxman :)

Politicians

And can you please elaborate what normal work is?

Disabled Asian Lesbian Breastfeeding Awareness Officers and the like.

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The longer the powers that be keep printing money and extending welfare and supporting failing companies the longer and harder this correction of the stupidity of man is going to be.

It should simply be allowed to crumble and everyone should learn a valuable lesson. But they won't. They didn't learn when the New Deal extended the Great Depression, they didn't learn when the banks forced a depression to create the fed, they just don't learn. They do the same stupid things over and over for the same stupid reasons and I assume they expect the outcome do be different but who knows.

Let the artificial die so we can all get back to living. :)

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I would suggest that any of the regular "golden trough" nominees from whoever collates them on this board could be candidates.

All the diversity officers etc.

The other arguement could be that there are many people in Local and National Goverment employment who seem to have very large salaries for what they seem to have to do.

1) There really aren't very many diversity officers in the world you know.

2) The highly paid Local and National Government officers are not going to be the ones who get cut, they are going to be choosing which people who provide actual services are going to be cut.

You can wish that this wasn't the case, but you know that it is.

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Just who exactly are the hangers on???

Teachers

Police

Nurses

Doctors

Fireman

Binmen

Street cleaners

The taxman :)

Politicians

And can you please elaborate what normal work is?

Sack all teachers (except Steve Cook) and doctors (because the NHS should have kicked the bucket by now). That'll save a fortune.

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  • 396 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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