government approves $700 billion bailout plan

[Flipx99 5,000+ posts]

i wonder if they can cut interest rates to -1. cause it appears to be all that's left.

To answer your question, the answer is yes. To see whether or not that is a good idea, go to your favorite search engine for "Japan's Lost Decade"...which happened FOR THE SAME FVCKING REASON, we have financial crisis now.

 

[azimuth 5,000+ posts]

At this rate it'll be 7k long before January. Can't wait to see what the holiday retail sales reports look like around christmas //content.invisioncic.com/y282845/emoticons/crap.gif.7f4dd41e3e9b23fbd170a1ee6f65cecc.gif
Don't knock Bush...he is the bestest //content.invisioncic.com/y282845/emoticons/cool.gif.3bcaf8f141236c00f8044d07150e34f7.gif

:laugh:i'd love to have a beer with bush, but i wouldn't even let him budget my daughters piggy bank. i wouldn't let congress even speak to my daughter, as stupidity has never been disproven as contagious.

 

[azimuth 5,000+ posts]

To answer your question, the answer is yes. To see whether or not that is a good idea, go to your favorite search engine for "Japan's Lost Decade"...which happened FOR THE SAME FVCKING REASON, we have financial crisis now.

i actually have a book by tim callen. about the australian economy i think. never read it. i think we are just going to have to bomb someone to keep our place in the world. i say that we move our entire population to the center of the country, and nuke the north pole. we could fvck alot of countries with one blast, and remain at the top. we're too stupid to keep a good economy, so we'll have to bring everyone else's economies below our level instead. it's the only way.

 

[miker 5,000+ posts]

i actually have a book by tim callen. about the australian economy i think. never read it. i think we are just going to have to bomb someone to keep our place in the world. i say that we move our entire population to the center of the country, and nuke the north pole. we could fvck alot of countries with one blast, and remain at the top. we're too stupid to keep a good economy, so we'll have to bring everyone else's economies below our level instead. it's the only way.

Everyone else's economy's are dying b/c of ours..

 

[azimuth 5,000+ posts]

Everyone else's economy's are dying b/c of ours..

we're moving rapidly to a world currency.

 

[azimuth 5,000+ posts]

Everyone else's economy's are dying b/c of ours..

no. we're just trading places. china and japan are doing very well these days. they are the world's new super powers. we have been replaced. or will be very shortly. Russia is trying really hard to be included. oil prices being low hurts russia though. they need them to be high.

 

[Flipx99 5,000+ posts]

we're moving rapidly to a world currency.

Is that such a bad thing?

 

[azimuth 5,000+ posts]

Is that such a bad thing?

i don't know, to be honest. i've heard about it for years, but it's happening fast. easing in to it would have been nice: i just don't know what to think about it yet. i grew up being taught sovereignty, and how good america was. i'm still trying to grasp at logic through emotion.

 

[konechiwa 10+ year member]

At this rate it'll be 7k long before January. Can't wait to see what the holiday retail sales reports look like around christmas //content.invisioncic.com/y282845/emoticons/crap.gif.7f4dd41e3e9b23fbd170a1ee6f65cecc.gif
Don't knock Bush...he is the bestest //content.invisioncic.com/y282845/emoticons/cool.gif.3bcaf8f141236c00f8044d07150e34f7.gif

shit at this rate it will be below 7k next week.

flip would advise people to buy stocks when they drop way down? I mean, obviously the recession will change and everything will get better, so will it be worth it buy some at a major low price and then get more moneyz?

 

[azimuth 5,000+ posts]

shit at this rate it will be below 7k next week.



flip would advise people to buy stocks when they drop way down? I mean, obviously the recession will change and everything will get better, so will it be worth it buy some at a major low price and then get more moneyz?

it works that way with real estate. now is a great time to buy. real estate anyway. i don't know enough about stocks.

 

[Flipx99 5,000+ posts]

i don't know, to be honest. i've heard about it for years, but it's happening fast. easing in to it would have been nice: i just don't know what to think about it yet. i grew up being taught sovereignty, and how good america was. i'm still trying to grasp at logic through emotion.

it does come with problems....primarily preventing intra-area arbitrage. The law of one price still must hold, even within a single currency. The Euro is experiencing some problems with this....if country A borrows a signifcant amount of money, it creates inflation within that country. There are issues on how the effects trade. With two currencies, the exchange rate just changes to reflect inflation. With one currency...not sure how it works.

 

[konechiwa 10+ year member]

it works that way with real estate. now is a great time to buy.

i'd do it if i wasn't an 18 year old college student.

 

[Flipx99 5,000+ posts]

shit at this rate it will be below 7k next week.



flip would advise people to buy stocks when they drop way down? I mean, obviously the recession will change and everything will get better, so will it be worth it buy some at a major low price and then get more moneyz?

I advise others what I do myself....dollar cost averaging. You put $10, $100 whatever in the market every period. If the market tanks, it means you buy more. If it rises, you buy less.

I have a feeling a signifcant portion of my retirement will come from the "extra" stock I got to buy during the down year of 2008.

 

[azimuth 5,000+ posts]

it does come with problems....primarily preventing intra-area arbitrage. The law of one price still must hold, even within a single currency. The Euro is experiencing some problems with this....if country A borrows a signifcant amount of money, it creates inflation within that country. There are issues on how the effects trade. With two currencies, the exchange rate just changes to reflect inflation. With one currency...not sure how it works.

so to simplify. the money may be the same, but a gallon of milk in australia may cost 2.50, but here 6.00. is this too simple? i realize it's complicated.

 

[Flipx99 5,000+ posts]

so to simplify. the money may be the same, but a gallon of milk in australia may cost 2.50, but here 6.00. is this too simple? i realize it's complicated.

Well, economic theory says it shouldn't. Let's say that both the USA and Australlia both used US Dollar. The price of a gallon of milk in either place should not exceed the price of a gallon in the other place, save for carrying (transportation/insurance/taxes/etc). This is known as the law of one price.

At $3.50 gallon, it may very well be worth it to ship milk from Australlia to US. (even though I don't think you can actually keep it cold enough to ship...but milk is just an example here). This will raise the price of Australlian milk, less carryig costs to equal the price in US.

If we used two different currencies, we would have to exchange USD to their currency before the purchase.