Wednesday, November 12, 2014

11 of the Worst Economic Crises and the Present Day Crisis Explained

1 – Argentine economic crisis (1999 – 2002) -Lesson: Freezing bank accounts leads the crises to get worst. 

2 – Russian Financial Crisis (1998) -Lesson: Ponzi scheme always ends up being much more expensive in long run.

3 – Asian Financial Crisis (1997 – 1999) -Lesson: Financial meltdowns can happen with blink of an eye.

4 – The Dot-com bubble (1995 – 2000) -Lesson: The market always welcomes new technology but on long run it become harsh giving you a hard blow of losing assets.

5 – The Japanese asset price bubble (1986-1990) -Lesson: Bubbles look wonderful while growing but when they sink, as they have to sink, they pull the economy back often losing more than a decade.

6 – Wall Street Crash of 1929 -Lesson: The 1929 crash didn't cause the Great Depression but certainly contributed to making it more severe.  Public panic only made the situation worst.

7 – Tulip Mania (The Netherlands, 1637) -Lesson: When people are convinced that they can become rich quickly, they often lose their minds.

8 – Northern Rock Bailout (Great Britain, 2007) -Lesson: A business can never survive by repacking debt as assets in a fake nonprofit. That only works when economy is going smoothly.

9 – United States Savings and Loan Crisis (1980s-1990s) -Lesson: Unessential restrictions implemented by government on bank’s ability to make money, makes banks work around them to keep their bottom line working. When any change is made in government policy that blows the lid off this re-routing by the banks, the whole system collapses.

10 – Swedish Financial Crisis (1990-1994) -Lesson: The investors who invest in the stock markets are able to bear the losses. Taxpayers can’t be punished for someone else’s oversights. Its better to save taxpayers rather than stockholders.

11.) Current Crisis (2008- Present Day) 



To keep the Global Economy working presently:
(a) Japan bought their own government bonds while printing money (quantitative easing)
(b) the EU is lending at 0% interest and counting prostitution and drugs on their GDP 
(c)  the only thing saving the USA dollar from collapse is gold and oil prices which are down (which in turn is wrecking other oil producing economies like Russia)
(d) and the Bank of Canada says those unemployed "should work for free or volunteer their services instead of just staying home".
STRONGEST NATIONS IN THE WORLD: the G8 (Japan, France, UK, Germany, USA, Russia, Canada
, and China) -and all those countries have been mentioned in A-D section above.
COUNTRIES IN A TRIPLE DIP RECESSION PRESENTLY: Japan, Brazil, Italy, France, Spain, Greece, Ukraine.
COUNTRIES HIDING THEIR TRIPLE DIP RECESSION STATUS: Canada, Germany, USA



CURRENCY WAR HEATING UP:
"Last Friday, the Bank of Japan effectively tossed a grenade into the region’s currency markets with its surprise announcement of a new round of quantitative easing sending the yen (CHINESE CURRENCY) to fresh lows. The move will be particularly problematic for China, as its slow-crawling managed rate to the U.S. dollar renders it is effectively defenseless when confronted by currency wars, in which countries try to steal growth from their trading partners through competitive devaluations. It also comes at a time when Beijing is already battling foes on two fronts: hot-money outflows and an economy flirting with deflation. The consensus is that the world’s largest trading nation will resist the temptation to enter the fray with a competitive devaluation or move to a market-based exchange rate. Yet Japan’s latest actions will hurt, as they hold Beijing’s feet to the fire".


CHINESE HOT MONEY OUTFLOW (Why the markets are still kept hot in cities worldwide):

"As bargain-hunters waited in a packed room at a property auction in Lisbon last month, one language dominated their chat: Mandarin. About 90% of the bidders for the government-owned apartments and stores on offer were Chinese, according to Jorge Oliveira, the official overseeing the asset sale. They ended up acquiring more than two-thirds of the 45 properties, he said. “A Portuguese investor bought a store to start a bakery and coffee shop, but most of the properties went to the Chinese,” Oliveira said in an interview after the sale. Portugal is the latest target for Chinese investors who have been acquiring buildings around the world as China allows freer movement of funds in and out of the country"(CHINESE MONEY IS KEEPING OTHER ECONOMIES AND WHOLE REGIONS IN OTHER COUNTRIES, WORLDWIDE, FROM CRASHING. Only thing "hot" in the markets is Chinese money).


IN CONCLUSION:
Unnatural Event Occurring Presently:  Stocks soaring, Dollar/Yen/Euro dropping in value reveals that  Quantitative Easing is in effect (meaning money being printed by either the Japanese, Europeans, and Americans).  This money being printed is going straight to stocks and bonds, which in turn is diminishing the value of the dollar every time a dollar is printed.  Meaning the longer this goes on, the more worthless a currency is which can only end in hyperinflation and credit collapse, sell offs, and privatization.



No comments:

Post a Comment