Is the World Heading to Depression?

[Vandoura]

Today another vote on $700B bill fail to pass and cost Dow to lost 777.68 points. EU and Asia stocks also failing

Media said we are surely heading to resession in couple of month, and if the gov not doing anything, we will heading to Despression...

Do you guys think we'll be heading into one?

http://money.cnn.com/2008/09/29/markets/markets_newyork/index.htm?cnn=yes


Edit: As off Oct 9, 2008, Dow fell below 9000 points

 

[Rorschach]

This is the time where you talk to your grandparents and ask them how they survived the Great Depression by making soup out of rocks and dirt.

Sad thing is I'm not joking. Lord knows how bad its going to get before it gets any better.

 

[Sharpe]

Well Britain is the worst placed of European countries and they reckon we'll be in recession by the end of the year easily. All this after cockface Brown said we're the best placed. Yeah with all that industry we don't have. Seriously Brown needs to go, even 54% of his own party said they don't want him. Then again our only other real choice is smarmy arse Cameron who's no better. We need Tony Benn as PM and Vince Cable (as much as the Liberal Democrats are lol worthy, Cable would be an awesome Chancellor of the Exchequer).

 

[Sharpe]

This is the time where you talk to your grandparents and ask them how they survived the Great Depression by making soup out of rocks and dirt.

Sad thing is I'm not joking. Lord knows how bad its going to get before it gets any better.

It's going to happen time and time again whilst Western governments believe so damn strongly in self-regulation in the banking industry. There needs to be far more control over the banks. However, as that's a primarily socialistic idea our governments will do half arsed measures and the banks will continue to invest with high risks.

I find it hilarious that HBOS was going to buy Lloyd's the other year and now Lloyd's has bought HBOS, all because HBOS invested in the high risk places, made a fortune, gave it all the shareholders and now their risks have come back to bite them in the arse.

 

[Tymon]

Stocks crashed worse than this in 1987 and we didn't go into a depression.

Depression no, possible recession, yes.

We're never going to come close to the hardships of the great depression, this is a different era.

 

[Amidamaru]

Was this the recession that lasted untill 1989?

May the force be with you miros.

 

[Amidamaru]

Btw the Dow Jones was already nosediving before the vote. Has nothing to do with it.

 

[Tristam Green]

Stocks crashed worse than this in 1987 and we didn't go into a depression.

Depression no, possible recession, yes.

We're never going to come close to the hardships of the great depression, this is a different era.

Probable recession is more an apt perception, I believe.

Honestly, if we were "headed to depression", none of us would be online. We'd have long since cut back our frivolities, and I dunno about the rest of you, but even though I work on computers for a living, I don't *need* the Internet access in order to survive.

I think it's possible that we could have another Depression like the 1930s. It would take a great number of dominoes falling, but hey; people are just as retarded with their money now as they were in "The Roaring Twenties".

 

[Hexx]

I for one am glad the bailout failed, and I hope it keeps failing. Bailing these idiot companies out isn't going to help us out, its only going to spend tax dollars that could be used on something more worthwhile. The government bailed these companies out before and look what happened. As for a Depression, sure the Dow had its biggest loss in history, but it still doesnt mean we are actually gonna suffer the way people did during the first Great Depression.

 

[exodusamphi]

Were already in a recession.

Im 19, and working at a very stable global owned/operated bank.

The only thing that will affect me is gas prices *shrugs shoulders*

 

[chinis]

Meh, call me a conspiracy theorist or whatever, but I'm betting on getting damn close to a depression, then they'll force the Amero on us to save us. USA gov, always looking out in the best interests of its citizens!

 

[Princemercury]

Honestly, I don't care.

I'm happy with my life atm, and I could not care less if everyone else was corrupted.

Don't make silly financial decisions and you won't be effected either.

Call me a selfish little bastard, see if I even dignify it with a frown.

If you're smart, you'll do what everyone else did.

Take your money and save it. Don't dump it into the sinkhole called the _.

If worse comes to worse, bank is a 2 min walk from where I live, go withdrawl, live on. I recommend the same for everyone else ^^;

Take Care.

 

[Dejavu]

I am very excited that this was blocked today but then again i am a crazy libertarian that actually stands by my values... The funny thing about the dow crash is that it is purely a response to the possibility that the bailout would fail. This is a panic and truthfully a large part of today's downward spike is probably a scare tactic to get more people behind the bailout seeing as it will be rewritten and retried. Whats cool is that if the dow is down 10% next week look at how quickly the rewritten bailout gets approved in the ensuing panic.

To answer your question
Depression ... not likely, Recession... without a doubt. The bailout will get us closer to the depression.

 

[Hexx]

I am very excited that this was blocked today but then again i am a crazy libertarian that actually stands by my values... The funny thing about the dow crash is that it is purely a response to the possibility that the bailout would fail. This is a panic and truthfully a large part of today's downward spike is probably a scare tactic to get more people behind the bailout seeing as it will be rewritten and retried. Whats cool is that if the dow is down 10% next week look at how quickly the rewritten bailout gets approved in the ensuing panic.

To answer your question
Depression ... not likely, Recession... without a doubt. The bailout will get us closer to the depression.

Gotta agree with ya on that, scare tactics at its best. To hell with Shannen Doherty (or whoever the fuck hosts that show) bring on Wall Street to show ya how to scare the pants (and money) off of people!

 

[Tok]

me and my parents had a long discussion on this last night and have come to the conclusion that this is a last ditch effort by bush and his cronies to rob the treasury before he leaves the white house

then again we are all conspirecy theorists lol

 

[Shirai]

Speaking from my own postion, I don't know anything about a depression or recession.

Yes I see the news, yes I see banks topple over, yes I see that the bill to blow 700 billion dollars has been declined by the US congres.
Yes my own country pushed 4 Billion Euros into one of the Benelux Banks that was about to topple into bankruption (SP).

However as I said speaking from my own postion:
I have a steady job, I can pay my rent, I can pay for my groceries and afford to eat 3 times a day.
I can pay my telephone and internet bills.
And heck, I even have enough left to go on a far vacation.
Please show me this depression the talking suits are speaking of.

 

[Tristam Green]

At the bare minimum, what yesterday's vote shows is a glaring indication of the President's waning influence on the House.

In all honesty, doing nothing would accomplish nothing, save to drive the economy (globally) into further dire straits. A "it will fix itself" mentality is what got us this far.

Am I saying we need to pump $700bil into these failing corporations? No. Do I honestly have a good suggestion on what to do? Likewise, no. I wish I did. But there does need to be some "watchdogging" going on by the part of the FDIC and the Department of the Treasury to ensure that:

a) the leads of the failing banks, etc don't just get to walk away from the damage they've wrought.
b) the heads of state that failed to do anything about these crises also don't just get to walk away from the damage they failed to prevent.
c) standards of accountability need to be put in place, or acted upon if they already exist.

The whole care-bear (yes, I said it) myths of the mid 1990s/early 2000's of "every American a homeowner", "every American a degree-holder", and "no child left behind" were absolute lunacy, and it loosed all persons of any personal responsibility, fiscally and personally. They were bad ideas at their inception, and remain bad ideas to this day.

It really feels like these ideals (the mass deregulation of our market system) were really just thumb-nosing to the economic practices of countries like the former USSR, and in our attempt to say "nyah, our system works so well, look at us, every person here gets their OWN home", we failed miserably in the follow-through.

The only people I pity in this situation are Jack and Diane, who lost their little pink house.

bankruption (SP).

bankruptcy.

 

[PBParrot]

I for one fail to see how dumping what amounts to something like the entire cost of the Iraq War of tax payer money into American banks to keep them afloat despite their bad business practices can help the economy in any way. I say let the issue sort itself out, and if when its all said and done were in a recession and half of the banking institutions are in shambles so be it, at least we'll have sent the message "If your going to fuck over our economy with your stupidity, were going to let you die when it comes back to bite you in the ass."

And as usual our congress has been completely useless the entire time. Proposing a solution that's wildly unpopular with the citizens, A short term solution that would result in long term tax-hikes. And when that plan comes up to vote instead of debating the bill Both sides of the aisle point fingers at the other, throw insults, have a pissing match over who's candidate would handle it better and then say everything's Bush's fault. So instead of doing what were paying them to do, solve problems, they choose to bicker with each other like Kindergartners.

The only way this can end is in recession. So why the hell are we trying to pump almost a trillion dollars into a sinking ship?

 

[Halifirien]

At the bare minimum, what yesterday's vote shows is a glaring indication of the President's waning influence on the House.

Agreed. McCain's "leadership" sucks as well.

 

[Nycon]

So why did mostly democrats vote for the bailout and the Repub's mostly vote against it. So the Dem's want Bush's failed programs? I fail to see your point TG.

On the 205-228 congressional vote, 140 Democrats voted yes, and 95 voted no; 133 Republicans opposed it, while 65 approved.