why and how is this , if you agree or disagree?
btw, which area of the world are you?
and how is it there?|||I don't have any contact with police men and women so I wouldn't know. I'm in North America.|||nothing has changed you can look a copper in the eye an he thinks you got a problem with him..so will provoke you so he can arrest you by pushing you an telling you to go away which he or she knows will wind you up...|||Police have ALWAYS been arrogant... And now the government claims we are ALL domestic terrorists...
GOODBYE AMERICA!
Hello crazy totalitarian government.|||The police have always been arrogant|||I live in Malibu, CA, everything is good here|||the where arrogant way before the credit crunch.
Friday, September 9, 2011
Are Oil and Gold the next Housing and credit crisis?
Both Oil and Gold have dramatically risen in price in the last couple of years. Do you think that these prices are justified or is this another bubble waiting to burst? On a Supply / Demand view, has the demand actually tripled in the last 2 years or is it just a speculative market that is getting ready to pop?|||possibly.|||The rising price of oil, gold, commodities, food, groceries,... are all sharing the same cause, which is our weak US dollar.
Because we have 2 wars, because we have extremely high national deficit, because we have huge imbalance of our trade deficit, because we are gradually loosing competition to Japan, China, Korea, European nations ... by loosing our manufacturing jobs, ... our US dollar has hit its lowest level against Euro today.
Give you one example:
Given today's crude oil price of $118 per barrel, if our dollar still has the same value as 2 years ago, today's crude oil price should be only less than $80 per barrel. Another words, the difference of $38 is due to our weak dollar. One can use the same ratio to justify today's price of gold, silver, iron, ....
The rapid rising price of food, gasoline, gold, commodities, ... will pretty soon to force Fed to raise interest rate, which may easily push the whole country into a much deeper recession and will affect every one in this country.
Because we have 2 wars, because we have extremely high national deficit, because we have huge imbalance of our trade deficit, because we are gradually loosing competition to Japan, China, Korea, European nations ... by loosing our manufacturing jobs, ... our US dollar has hit its lowest level against Euro today.
Give you one example:
Given today's crude oil price of $118 per barrel, if our dollar still has the same value as 2 years ago, today's crude oil price should be only less than $80 per barrel. Another words, the difference of $38 is due to our weak dollar. One can use the same ratio to justify today's price of gold, silver, iron, ....
The rapid rising price of food, gasoline, gold, commodities, ... will pretty soon to force Fed to raise interest rate, which may easily push the whole country into a much deeper recession and will affect every one in this country.
What do you think of my credit card crisis solution?
The US government just made a bunch of new credit card rules, all of them are nice, but people will continue to spend more than they have. If I could apply one rule to the credit card companies it would be...."No more rewards programs". I believe this is one of the major factors why people choose to use credit vs cash or debit.
This would suck, and a lot of people would be pissed, but I think it would slowly work.
What do you think?|||Actually, the vast majority of rewards card holders never redeem any of their points or are unaware that they even have rewards on their cards, so it's not the driving force behind the cards. Credit cards and store credit accounts have been popular long before anyone devised a plan to couple rewards with them. People in this culture are geared towards spending more than they make and many have no idea how to manage their finances. Also, it's pretty hypocritical for the government to tell anyone how to manage finances. Have you checked the national debt lately? Oh, and they offer rewards programs on debit cards as well, so you're not eliminating the problem.|||I love my rewards program.
Last year I made about $500 cash back in my pocket.
Now, I know that for top credit scores I need to pay my credit card in full each month.
This allows me to never pay interest - ever. Not a cent APR.
More than 50% of the population never carry balances and are actually making money by using credit cards.
/|||I don't think it's a good idea. People should just learn to be more responsible with their finances or credit card companies should make it harder to obtain credit which is what will probably happen if it hasn't already. I only have three cards and don't plan on getting any new ones.
This would suck, and a lot of people would be pissed, but I think it would slowly work.
What do you think?|||Actually, the vast majority of rewards card holders never redeem any of their points or are unaware that they even have rewards on their cards, so it's not the driving force behind the cards. Credit cards and store credit accounts have been popular long before anyone devised a plan to couple rewards with them. People in this culture are geared towards spending more than they make and many have no idea how to manage their finances. Also, it's pretty hypocritical for the government to tell anyone how to manage finances. Have you checked the national debt lately? Oh, and they offer rewards programs on debit cards as well, so you're not eliminating the problem.|||I love my rewards program.
Last year I made about $500 cash back in my pocket.
Now, I know that for top credit scores I need to pay my credit card in full each month.
This allows me to never pay interest - ever. Not a cent APR.
More than 50% of the population never carry balances and are actually making money by using credit cards.
/|||I don't think it's a good idea. People should just learn to be more responsible with their finances or credit card companies should make it harder to obtain credit which is what will probably happen if it hasn't already. I only have three cards and don't plan on getting any new ones.
What reasons will people blame the banks for the credit crisis?
just some bullets points would be great. thanks|||1: Banks made loans and gave credit cards to people that had proven poor credit scores.
2: Banks created loan products for the sole purpose of getting people qualified that otherwise would not have been able to get a traditional loan. See examples like "option arm" mortgages with their negative amortizing payment option. Bad stuff.
2: Banks created loan products for the sole purpose of getting people qualified that otherwise would not have been able to get a traditional loan. See examples like "option arm" mortgages with their negative amortizing payment option. Bad stuff.
Do you think the current credit crisis will result in more than a recession?
it seems to me people are confident maybe to confident it wont sink us in to a depression!|||Yes, because we will use this unstoppable world crisis to ferment unrest.Capitalism is crying "Bury me!Bury me!".
We love crisis.And this one is the mother of all crisises.|||For some it may, for others, no. It depends on person's financial condition; to people who have a lot of debt, who own stocks, who have 401(k) plans, people who work for major corporations and employees in down-line businesses (vendors ans suppliers) will be particularly hard hit. But if you are not exposed to risk, have discretionary income, and manageable debt levels, then the effects of a recession should be minimal. |||It all depends how we react to it, and I do not mean governments, and banks, and stock exchange, but the normal everyday people.
If we search and find for the root cause of the crisis we will be able to find the solution.
Here is an excellent analysis on the current economical crisis, and hopefully it will help with your answer:
http://www.laitman.com/2008/10/analysis-鈥?/a>
All the best.
We love crisis.And this one is the mother of all crisises.|||For some it may, for others, no. It depends on person's financial condition; to people who have a lot of debt, who own stocks, who have 401(k) plans, people who work for major corporations and employees in down-line businesses (vendors ans suppliers) will be particularly hard hit. But if you are not exposed to risk, have discretionary income, and manageable debt levels, then the effects of a recession should be minimal. |||It all depends how we react to it, and I do not mean governments, and banks, and stock exchange, but the normal everyday people.
If we search and find for the root cause of the crisis we will be able to find the solution.
Here is an excellent analysis on the current economical crisis, and hopefully it will help with your answer:
http://www.laitman.com/2008/10/analysis-鈥?/a>
All the best.
What is the good news connected to the credit crisis for you ?
i dunno i live to pay bills :(|||stocks are very low thus making it a great time to buy. Ford Motor company's stock is 1.99 ! that's just begging to be bought up .|||I like to see the so called rich squirm.|||gas prices are going down|||At the moment not a thing. :(|||The fact that the new place I'm moving into has lowered the rent :D|||~~The rise in Obama's numbers on converted voters. Its my only hope left.~~
Has your opinion of bankers changed since the credit crisis and housing bubble?
There has been quite an upheaval in this once very respectable community minded profession.|||It's further evidence that it only takes a few bad apples....
The problem started back in the 1970s and 1980s when the bank regulators encouraged lenders to securitize their loans. The regulators thought it was too risky for a financial institution to carry mortgage loans with fixed interest rates over a long period of time. But these days, most mortgages are paid off within 5-7 years. They're either refinanced or the home is sold. Very few mortgages stay on the books of a financial institution until maturity.
Then, with the risk to the lender effectively eliminated, people started to get reckless and greedy. If a loan was not repaid, it was the investors who lost money, not the lender. Everyone wanted something out of this deal - the bankers and mortgage brokers wanted their fees; the investors craved higher yields, the developers and speculators wanted a super-heated housing market... it goes on and on.
The bankers have done an excellent PR job of blaming the victims - the people who borrowed the money. All they did was what their realtors, bankers, financial advisers and possibly their family members and friends told them to do. Get in the market now before you cannot afford to buy at all.
Others already owned their homes and were the victims of predatory lending practices. It's easy to judge and say they should know better. In many cases, the lenders broke the law and did not disclose the terms. Talk to any state Attorney General and ask them how many pending cases they have for deceptive advertising and unfair trade practices among subprime and Alt-A lenders. They'll tell you the whole story, and it isn't pretty.
Now, we need to wait until the market settles down again, and it will be hard on everyone. Fewer housing starts means lots of unemployment among a host of industries, from lumber mills to appliance manufacturers, etc.
For some people, their home was their single largest asset, and they will suffer. If they had a 401k, that is down, too.
Even lenders who made no subprime or Alt-A loans will suffer. Anyone holding real estate debt is going to take a beating.|||I blame society. It was the idiots that walked into banks and got talked into these loans. The papers clearly stated that the interest would go up by a certain amount. They also fully disclosed early payment penalties. It was all in plain, easy to read, black and white. I asked questions if I didn't understand something.
I read my mortgage. Obviously a lot of people don't know how to read.
Bankers were just doing their job on commission - just like sales people at Sears.
.
|||Honestly, no. There are good people and there are bad people in every profession. And I don't blame the bankers for everything anyway. There are a ton of reasons that we're in the current financial mess right now.|||No, my opinion of them hasn't changed at all..............I've always believed they were bunch of unscrupulous, robbing bastards|||Bankers are all crooked thieves you just need to be able to outsmart them!
The problem started back in the 1970s and 1980s when the bank regulators encouraged lenders to securitize their loans. The regulators thought it was too risky for a financial institution to carry mortgage loans with fixed interest rates over a long period of time. But these days, most mortgages are paid off within 5-7 years. They're either refinanced or the home is sold. Very few mortgages stay on the books of a financial institution until maturity.
Then, with the risk to the lender effectively eliminated, people started to get reckless and greedy. If a loan was not repaid, it was the investors who lost money, not the lender. Everyone wanted something out of this deal - the bankers and mortgage brokers wanted their fees; the investors craved higher yields, the developers and speculators wanted a super-heated housing market... it goes on and on.
The bankers have done an excellent PR job of blaming the victims - the people who borrowed the money. All they did was what their realtors, bankers, financial advisers and possibly their family members and friends told them to do. Get in the market now before you cannot afford to buy at all.
Others already owned their homes and were the victims of predatory lending practices. It's easy to judge and say they should know better. In many cases, the lenders broke the law and did not disclose the terms. Talk to any state Attorney General and ask them how many pending cases they have for deceptive advertising and unfair trade practices among subprime and Alt-A lenders. They'll tell you the whole story, and it isn't pretty.
Now, we need to wait until the market settles down again, and it will be hard on everyone. Fewer housing starts means lots of unemployment among a host of industries, from lumber mills to appliance manufacturers, etc.
For some people, their home was their single largest asset, and they will suffer. If they had a 401k, that is down, too.
Even lenders who made no subprime or Alt-A loans will suffer. Anyone holding real estate debt is going to take a beating.|||I blame society. It was the idiots that walked into banks and got talked into these loans. The papers clearly stated that the interest would go up by a certain amount. They also fully disclosed early payment penalties. It was all in plain, easy to read, black and white. I asked questions if I didn't understand something.
I read my mortgage. Obviously a lot of people don't know how to read.
Bankers were just doing their job on commission - just like sales people at Sears.
.
|||Honestly, no. There are good people and there are bad people in every profession. And I don't blame the bankers for everything anyway. There are a ton of reasons that we're in the current financial mess right now.|||No, my opinion of them hasn't changed at all..............I've always believed they were bunch of unscrupulous, robbing bastards|||Bankers are all crooked thieves you just need to be able to outsmart them!
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