How long it lasts depends upon how long it takes companies to realise that unless they change their faulty management they will just keep falling deeper and deeper into the hole.
Permalink Reply by Glen on February 6, 2009 at 5:36am
Indeed the current economic depression caused by the former American government and stupid & greedy businessmen, will last a long time.
Keynesian type economic measures, strong and regulated banks, and the avoidance of American economic protectionism are the only hope for getting ourselves out of the hole they have put us in.
Obama is indeed trying Keynesian policies but they're only in experimental stages and only in very isolated towns that have been severely hit. Will be a very interesting experiment. I don't feel that this can work over denser areas however.
Think of it as an analogy where you are now at sea among the thousands of millions of other survivors.
Those already comfortably seated and rested in a vessel cannot go far because a thunderstorm is approaching -- better off staying put. While those that do not have a vessel are aggressively in search of something buoyant to cling on to stay afloat and rest their tiring body.
At the same time, there are some vessels that are slowly sinking. The skipper of the vessel will and have offloaded people to continue to stay afloat.
Bigger storm is on its way. No one will be save from the grasp of economic and financial wrath -- a flawed system biting back.
I doubt that crisis can be solved by so easily. I read today that people increasingly transfer funds to offshore banking centers to keep cash in safe and secure place. This can harm domestic banking systems greatly.
If we ever had real Americans in charge, their solution to hiding loot in offshore banks would be by bombing. It would only take one bomb and the collaborators in this crime would get the message.
How big is the Saudi army? Confiscate OPEC oil territories. USA--Saudis' . Russia--Iran's. China--Indonesia's. Etc. The resources belong to the those with the talent to develop them, not to low-IQ price-gougers who occupy the territory. Nature is not a real estate agent. Use it or lose it.