'The World As We Know It Is Going Down'
Fri Sep 19, 2008 10:01
72.201.43.207
US FINANCIAL CRISIS
http://www.spiegel.de/international/business/0,1518,578944,00.html
'The World As We Know It Is Going Down'
End of an Era
In fact, it really does look as if the foundations of US capitalism have shattered. Since 1864, American banking has been split into commercial banks and investment banks. But now that's changing. Bear Stearns, Lehman Brothers, Merrill Lynch -- overnight, some of the biggest names on Wall Street have disappeared into thin air. Goldman Sachs and Morgan Stanley are the only giants left standing. Despite tolerable quarterly results, even they have been hurt by mysterious slumps in prices and -- at least in Morgan Stanley's case -- have prepared themselves for the end.
"Nothing will be like it was before," said James Allroy, a broker who was brooding over his chai latte at a Starbucks on Wall Street. "The world as we know it is going down."
In The New Golden Age, bestselling author and economist Ravi Batra identifies the roadblocks to economic prosperity--and what we need to do to overcome them. Bringing the same insight and expertise that made books like The Downfall of Capitalism and Communism international bestsellers, Batra takes on falling minimum wages, corporate scandals, rocketing oil prices, and many of the other crises facing the world economy. He also offers an expansive, optimistic vision of how the international community can address them and bring about something historically unprecedented: true global economic prosperity.
Synopsis:
Bestselling author and economist Ravi Batra takes aim at the obstacles to global prosperity--from corrupt financial institutions to political motivations--and makes a big statement about what the economy needs.
http://www.powells.com/biblio/1-9781403975799-0?&PID=30079
Many are drawing comparisons with the Great Depression, the national trauma that has been the benchmark for everything since. "I think it has the chance to be the worst period of time since 1929," financing legend Donald Trump told CNN. And the Wall Street Journal seconds that opinion, giving one story the title: "Worst Crisis Since '30s, With No End Yet in Sight."
But what's really happening? Experts have so far been unable to agree on any conclusions. Is this the beginning of the end? Or is it just a painful, but normal cycle correcting the excesses of recent years? Does responsibility lie with the ratings agencies, which have been overvaluing financial institutions for a long time? Or did dubious short sellers manipulate stock prices -- after all, they were suspected of having caused the last stock market crisis in July.
The only thing that is certain is that the era of the unbridled free-market economy in the US has passed -- at least for now. The near nationalization of AIG, America's largest insurance company, with an $85 billion cash infusion -- a bill footed by taxpayers -- was a staggering move. The sum is three times as high as the guarantee provided by the Federal Reserve when Bear Stearns was sold to JPMorgan Chase in March.
"I fear the government has passed the point of no return," financial historian Ron Chernow told the New York Times. "We have the irony of a free-market administration doing things that the most liberal Democratic administration would never have been doing in its wildest dreams."
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.... 
US FINANCIAL CRISIS
http://www.spiegel.de/international/business/0,1518,578944,00.html
Wondering What to Think About the Financial Meltdown? Here's What ...
John Birch Society - Appleton,WI,USA
Here's a very recent video of an interview with Ron Paul
about the bailouts. I also saw a excellent interview of Ron
Paul on Glenn Beck tonight (Sept. 18). ...
FULL REPORT:>>
http://www.spiegel.de/international/business/0,1518,578944,00.html
'The World As We Know It Is Going Down'
End of an Era
In fact, it really does look as if the foundations of US capitalism have shattered. Since 1864, American banking has been split into commercial banks and investment banks. But now that's changing. Bear Stearns, Lehman Brothers, Merrill Lynch -- overnight, some of the biggest names on Wall Street have disappeared into thin air. Goldman Sachs and Morgan Stanley are the only giants left standing. Despite tolerable quarterly results, even they have been hurt by mysterious slumps in prices and -- at least in Morgan Stanley's case -- have prepared themselves for the end.
"Nothing will be like it was before," said James Allroy, a broker who was brooding over his chai latte at a Starbucks on Wall Street. "The world as we know it is going down."
In The New Golden Age, bestselling author and economist Ravi Batra identifies the roadblocks to economic prosperity--and what we need to do to overcome them. Bringing the same insight and expertise that made books like The Downfall of Capitalism and Communism international bestsellers, Batra takes on falling minimum wages, corporate scandals, rocketing oil prices, and many of the other crises facing the world economy. He also offers an expansive, optimistic vision of how the international community can address them and bring about something historically unprecedented: true global economic prosperity.
Synopsis:
Bestselling author and economist Ravi Batra takes aim at the obstacles to global prosperity--from corrupt financial institutions to political motivations--and makes a big statement about what the economy needs.
http://www.powells.com/biblio/1-9781403975799-0?&PID=30079
Many are drawing comparisons with the Great Depression, the national trauma that has been the benchmark for everything since. "I think it has the chance to be the worst period of time since 1929," financing legend Donald Trump told CNN. And the Wall Street Journal seconds that opinion, giving one story the title: "Worst Crisis Since '30s, With No End Yet in Sight."
But what's really happening? Experts have so far been unable to agree on any conclusions. Is this the beginning of the end? Or is it just a painful, but normal cycle correcting the excesses of recent years? Does responsibility lie with the ratings agencies, which have been overvaluing financial institutions for a long time? Or did dubious short sellers manipulate stock prices -- after all, they were suspected of having caused the last stock market crisis in July.
The only thing that is certain is that the era of the unbridled free-market economy in the US has passed -- at least for now. The near nationalization of AIG, America's largest insurance company, with an $85 billion cash infusion -- a bill footed by taxpayers -- was a staggering move. The sum is three times as high as the guarantee provided by the Federal Reserve when Bear Stearns was sold to JPMorgan Chase in March.
"I fear the government has passed the point of no return," financial historian Ron Chernow told the New York Times. "We have the irony of a free-market administration doing things that the most liberal Democratic administration would never have been doing in its wildest dreams."
----------------------------------------------------
.... US FINANCIAL CRISIS
http://www.spiegel.de/international/business/0,1518,578944,00.html
Wondering What to Think About the Financial Meltdown? Here's What ...
John Birch Society - Appleton,WI,USA
Here's a very recent video of an interview with Ron Paul
about the bailouts. I also saw a excellent interview of Ron
Paul on Glenn Beck tonight (Sept. 18). ...
FULL REPORT:>>
- 'The World As We Know It Is Going Down' — Fri Sep 19 10:01