Have Your Say map: Are you concerned by the financial crisis?

news.bbc.co.uk ^ | 10/12/2008 | news.bbc.co.uk

[WesternCulture]

We've heard a lot about how the financial crisis is affecting stock markets and governments all over the world. But how are you getting on? Are you concerned? Our interactive map lets you share your views.

[supercat]

My comment: By the time a market crashes, money has already been lost (it’s possible to delay a crash only so long as nobody cashes in). So I’m not worried about losing money in the crash, even though I’ve already lost quite a bit. My bigger worry is that the government will keep changing the rules of the game in an effort to ‘fix’ things. Even bad but predictable rules are better than rules that nobody can rely upon.

[HardStarboard]

>>>My bigger worry is that the government will keep changing the rules of the game in an effort to ‘fix’ things.<<<

It looks like your are prescient. I have heard that tomorrow they are going to change the rules on where they will spend the 700 Billion already authorized.

The change if from liquidity in handouts to banks and Wall Street firms by buying their junk paper to direct investment (preferred non-voting stock) in "troubled" banks.

Actually, that may be a better idea. Before, we had no idea what kind of assets the US government was buying.

Who knows....this week will tell an awful lot about where we are headed from here!! Times are a bit more "interesting" than I ever wanted them to be.

[uptoolate]

Ecclesiastes 5:10-20

10 Whoever loves money never has money enough;
whoever loves wealth is never satisfied with his income.
This too is meaningless.

11 As goods increase,
so do those who consume them.
And what benefit are they to the owner
except to feast his eyes on them?

12 The sleep of a laborer is sweet,
whether he eats little or much,
but the abundance of a rich man
permits him no sleep.

13 I have seen a grievous evil under the sun:
wealth hoarded to the harm of its owner,

14 or wealth lost through some misfortune,
so that when he has a son
there is nothing left for him.

15 Naked a man comes from his mother’s womb,
and as he comes, so he departs.
He takes nothing from his labor
that he can carry in his hand.

16 This too is a grievous evil:
As a man comes, so he departs,
and what does he gain,
since he toils for the wind?

17 All his days he eats in darkness,
with great frustration, affliction and anger.

18 Then I realized that it is good and proper for a man to eat and drink, and to find satisfaction in his toilsome labor under the sun during the few days of life God has given him—for this is his lot. 19 Moreover, when God gives any man wealth and possessions, and enables him to enjoy them, to accept his lot and be happy in his work—this is a gift of God. 20 He seldom reflects on the days of his life, because God keeps him occupied with gladness of heart.

[exhaustguy]

I still disagree with any sort of federal payment, but preferred stock would be a better way to go (I got to wonder what value will be set on the preferred stock - the depressed value of the traded stock or some phony number cooked up by Paulson and his buddies). No way you can unwind the complext financial instruments these banks are holding and set a value to them.

An even better solution may be to purchase traded shares since they will reflect the current market conditions on the stocks. Being ahead in line if some of the banks liquidate does not seem to be much of a benefit since I am sure it will be hollowed out from the inside before that happens. Of course I shudder at the thought of the Feds voting by proxy and all the political crap that will cause.

Hopefully we can take some profits and get out of the banking business as soon as possible once they are back on their feet.