Vette Boss
Forum Addict
- Joined
- Nov 14, 2004
- Messages
- 5,291
- Location
- United States, Britain, in time
- Car(s)
- 2006 Volkswagen Passat 3.6 VR6
If Porsche buys GM, they might have to actually assemble their cars for once.
I hope people act like maroons. U chicago has the best economics department in the world. Unfortunately, there's a fine line between maroon and moron. We're firmly on the moron side now. There are massive sell-offs going on, which are largely justified, but are certainly making things more difficult for everyone right now.
Really? Wow.
If Porsche can buy a majority in VW, does that mean that theoretically Porsche could buy GM?
I mean, I'm fairly sure it'd never happen (why would they / the US Gov't would probably stop it etc), but if that's possible, wow.
The small sports car company's gone big.
It's called credit, it's what our economies are based on. Stopping lending means stopping, or more likely, reversing economic growth. The DOW can drop all it wants, it needs to adjust to reflect real values. But if we don't have anyone lending money we will see long term economic stagnation. Due to the financial crisis banks want to hang onto all the assets they can and thus aren't lending money to other banks. We're already seeing the effects of this trickle down to the general public. Unemployment has been increasing all year and you already can't get a car or home loan without near perfect credit.Isn't it about time they slowed down, though? For every dollar they lend out to someone, they're printing ten more they don't have. The money's coming out of thin air, respectively.
Not if they don't get rid of the UAW, nothing would change.If Porsche buys GM, they might have to actually assemble their cars for once.
Not if they don't get rid of the UAW, nothing would change.
If Porsche buys GM, they might have to actually assemble their cars for once.
Germany is good at invading countries
If Porsche buys GM, they might have to actually assemble their cars for once.
In the hypothetical situation of Porsche buying out GM, every UAW member would collectively shit their pants at the thought of being cut out of the equation in the ensuing reorganization.
Rear engined rear wheel drive Cobalt, oh yeah.
But seriously though, the Dow dropped pretty badly today, I think we're heading to another great depression if the $700 billion really have no effect.
What I don't get is why people are selling off an tanking the share price of companies that are extremely unlikely to go under, they must be losing an asstonne on them. BHP for example aren't going anywhere yet their share price is tanking.
Mein Fuhrer! I mean, erm, Mr. President ...Germany is good at invading countries, disbanding defunct conglomerates can't be that hard. And they can convince all the ex-union workers it's a good idea.
I saw that it was down around 8,000 practically as soon as trading opened. That's a 40% drop in the last year :?. But just about every economist I've heard thinks it's a good thing. Once the market hits bottom things are supposed to get better, and the bottom, the actual real value of assets, is supposed to be around 8,000. The only problem is that no one wants to buy until stock are at their lowest.But seriously though, the Dow dropped pretty badly today, I think we're heading to another great depression if the $700 billion really have no effect.
It's not going to banks, not as far as I've heard anyway. The Treasury gets the power to buy mortgage-backed securities and other related shares. Congress will have oversight and there will be judicial review. Bankruptcy judges won't get to rewrite mortgages, but there will be a separate program allowing the government to purchase failing mortgages and rewrite them to give defaulting homeowners better terms. The gov't is also loaning money to companies like GM and AIG (and now owns something likt 80% of AIG, too).Hang on a minute - 700 billion USD is 'lent' to who?
That's the stupid part. There are companies that have solid assets and are in the black, but no one will invest in them. If I wasn't so broke, I'd be very seriously looking at buying a lot of stock right now.below 8000 now, WTF if a company beats earnings (IBM, Morgan Stanley, Goldman Sachs) then why sell?
That's the stupid part. There are companies that have solid assets and are in the black, but no one will invest in them. If I wasn't so broke, I'd be very seriously looking at buying a lot of stock right now.
OK I am with you, so instead of lending to Banks directly or buying shares a la Nationalisation (Prefential Shares as in some Banks in the UK, or full blown Northern Rock nationalisation variant) you take the sub prime loans on as your liability and rewrite the terms to be better for the mortgagor.Hang on a minute - 700 billion USD is 'lent' to who?
It's not going to banks, not as far as I've heard anyway. The Treasury gets the power to buy mortgage-backed securities and other related shares. Congress will have oversight and there will be judicial review. Bankruptcy judges won't get to rewrite mortgages, but there will be a separate program allowing the government to purchase failing mortgages and rewrite them to give defaulting homeowners better terms. The gov't is also loaning money to companies like GM and AIG (and now owns something likt 80% of AIG, too).