RunningFool's Account Talk

[presskh]

I believe the IMF forced them to live within their means. Its the only way any economy will work in the long run. If you spend more than you make you will go broke whether you're an individual or a country. It seems that we just spent 700 billion that we don't really have.

RunningFool is right. I seem to remember that the IMF, in exchange for a certain amount of forgiveness of debt by other countries owed money, forced them to adopt austerity measures. Times were probably pretty lean for the population for another decade or so, but these two countries have really been taking off this decade. In the long run, the finances of a country are not that much different than those of a family unit - you can live "high on the hog" for a few years by taking on debt, but at some point, the debt must be paid or if it is too high, you face bankruptcy.

 

[catt1]

Is it possible for a country to go bankrupt?

If so would china own us?

 

[Eldritch Flatus]

Is it possible for a country to go bankrupt?

If so would china own us?

China will nationalize wall street......Then it will be the "Great Wall Street of China":laugh:....Oooh, thats bad; sorry!:nuts: ......(puke!)

 

[KevinD]

I read somewhere on this MB that Japan owns more of our bad MBS than China...

 

[Show-me]

Is it possible for a country to go bankrupt?

If so would china own us?

What could most likely happen would be that all the Counties that hold our debt will not buy anymore and start selling it off.

That will cause us to tighten our spending belts and cut services in order to make the budget. Next, hyperinflation because our money is no good to the rest of the world.

 

[RunningFool]

What could most likely happen would be that all the Counties that hold our debt will not buy anymore and start selling it off.

That will cause us to tighten our spending belts and cut services in order to make the budget. Next, hyperinflation because our money is no good to the rest of the world.

And then unless that country takes austere measures and starts to live within its economic means it will become a 3rd or 4th world nation and its assets will be divided up among the more powerful nations. The bottom line is nobody, no person or nation can continue to borrow and borrow without ill effect. We are not an exception. This is why credit is soooo important to our economy and the worlds economy. Easy credit is given so that we will continue to buy. If credit gets too tight we stop buying and the whole world economy will slow down or stop. Nobody can even fanthom what will happen then. Thus the urgent push to keep the economy going with easier and easier credit. Unfortunately it is a house of cards and it will fall, it is just a matter of time. The government knows this but is so afraid of the austere measures and political repercushions that they keep putting off truely dealing with the mounting problems. Is anyone talking about dealing with SS and Medicare, No because the solutions would be political suicide and keeping their political positions are too lucretive to chance that. They keep putting these problems off to some point in the future when they have gotten theirs and it not their problem anymore. Appoint a study group to look at the problem and then do nothing. Unfortunately we average Americans have become too accustomed to this easy credit and are loath to give it up also, thus we will not vote these people out of office or hold them accountable for their actions. The austere measures will come whether by government action or by economic law, they will come. Have a nice day!

 

[Show-me]

No truer word have been said or written. Credit has become our right, our life blood, our demise. We need to learn how to save and spend only what we save. The policy of using credit to do everything will destroy us and we will be owned by those who provide their savings at a price to us.

 

[Silverbird]

I read somewhere on this MB that Japan owns more of our bad MBS than China...

It's very close, I think Japan is in the lead again because China has backed off, and Japan has a longer history of trying to control its currency vs the dollar. Next up I think was Saudi Arabia, then a number of EU and Petrodollar economies.

Even the conspiracy theorists (China, Russia, Venezuela....) who expound this was all an evil U.S. plot to sucker them into buying U.S. certified trash want nothing to do with running the U.S. They believe (or pretend to) this proves Capitalisim is just a big shell game - and they got snookered. Your normal Chinese's belief that cheating is the way you make money under Capitalism will continue to believe it (this Mela-nine stuff will get me the money I deserve for this milk!). As for the rest, well, Capitalism is evil - the rich gameplayers make the poor peasants/proleteriats pay.

This belief among normal Chinese that they are not responsible because that's capitalism makes it impossible for China to control product safety and certification. Their laws are fine. Enforcement is hunting for yellowjackets in a world full of bees. So, yes, there is a danger from China, and if we try to stiff them with the bill, it will only get worse than it is now - it's already going more downhill than up.

For eveyone foreign holding this toxic junk, it's up to the U.S. to prove that they can keep up with their debt payments! Or else the U.S. is morally bankrupt.

Even if the foreign holders of USJunk$ wanted to stage a financial coup and run the U.S. economy you couldn't get them at one table together, much the less have them agree how to run the U.S. economy.:blink:

 

[KevinD]

Even if the foreign holders of USJunk$ wanted to stage a financial coup and run the U.S. economy you couldn't get them at one table together, much the less have them agree how to run the U.S. economy.:blink:

Heck. We can't even do that ourselves. :laugh:

 

[Silverbird]

Heck. We can't even do that ourselves. :laugh:

Exactly my point, conspiracy theorists on both sides of the Pacific and Atlantic need to pour themselves a glass of their favorite drink, and get their heads on straight.

 

[RunningFool]

There was a time not too long ago when a 3% move was almost unheard of but now it is almost a relief to see such a "SMALL" move. This has gotten completely out of hand and I am going 100% to G, hoping that it too will not crash. Have a nice day

 

[RunningFool]

As of the 10-10 Top 20 in the TSPTalk Automatic Tracker the allocations are:
G 89.6%
F 5.3%
C 5.1%
S 0%
I 0%

 

[RunningFool]

As of the 10-14 Top 20 in the TSPTalk Automated Tracker the allocations are:
G 86.35%
F 5.55%
C 2.6%
S 0.5%
I 0%
L2040 5%

 

[RunningFool]

For all you folks that don't know a VIX from a chicken, Here is a real simple way of getting your financial guidance, just follow the leaders. After all its only your financial livelihood at stake, Keep it simple.

As of the 10-16 the Top 20 TSPTalk Automated Tracker allocations are:
G 96.45%
F 1.05%
C 0%
S 0%
I 0%
L2040 2.5%

 

[malyla]

For all you folks that don't know a VIX from a chicken, Here is a real simple way of getting your financial guidance, just follow the leaders. After all its only your financial livelihood at stake, Keep it simple.

As of the 10-16 the Top 20 TSPTalk Automated Tracker allocations are:
G 96.45%
F 1.05%
C 0%
S 0%
I 0%
L2040 2.5%

Thanks RunningFool,

This is nice to know (especially when I don't have to take the time to figure it out). Please keep up the good work.

Malyla

 

[RunningFool]

Just like a shot of adrenalin administered to a sick patient generates an apparent revival, only to have the patient collapse as soon as the injection wears off, the artificial monetary injections by the Fed will do the same. Paraphrasing former Fed chairman Paul Volcker, "Once you have a little [monetary] inflation, you need a little more". As with any medicine, its effects wear off and become less potent the more "injections" are received.

[FONT=times new roman, times]Oliver Garret, CEO[/FONT]
[FONT=verdana,arial]Casey Research | October 17, 2008[/FONT]

 

[jon]

Depending on your time zone and BBC scheduling, there is an interesting critique of who's guilty regarding the meltdown on Newsnight now.

 

[RunningFool]

Thanks, I'll see if I can catch it.

 

[RunningFool]

The Top 20 Returns for the weekending 10-17-08

...........................YTD.......This Week
DakotaKid............-10.50%.......6.98%
tataberto............-30.79%.......6.89%
TerpTrader..........-27.82%.......6.38%
poolman...............16.68%..... 6.12%
Intrepid_Investor..-21.06%..... 6.03%
southbeachrat......-10.78%..... 6.00%
350zCommTech.......-21.74%... 5.98%
fuzzduzz...............-20.99%.... 5.08%
2Easy....................9.84%...... 4.22%
ContrarianJeff........-8.96%....... 3.97%
PF_chart_C...........-20.31%..... 3.47%
James48843..........-20.53%..... 3.47%
Corepuncher.........-13.10%..... 3.28%
nsurf9..................-18.21%.... 3.27%
fabijo...................-25.86%.... 3.24%
BamaAF................-16.91%.... 3.22%
justbizness45........-19.22%..... 3.21%
Uptrend...............-18.31%..... 3.14%
Foghorn...............-29.33%..... 3.08%
vectorman............-27.57%..... 3.02%

 

[KevinD]

Depending on your time zone and BBC scheduling, there is an interesting critique of who's guilty regarding the meltdown on Newsnight now.

Did anybody see this? I want to know who to blame... :laugh:

I've been trying to find a download but no luck so far.