good, bad and ugly scenarios for the global economy - part 1 (good and bad)

[migkillertwo]

So far it's looking a little bit better than "bad", but I doubt that we will get to the "ugly" scenario. Even if we get fiscal tightwads in 2012, I'm confident in the marketplace to reduce real wages to market clearing levels to make up for the 2008-2010 deflation before governments collapse.

[Ollie900Japan]

Well, now we're here, the 'bad' scenario with parts of the 'ugly' scenario is what we've seen. Quite a few spot on predictions.

[NarayanLeena]

freaking good!!!!!!!!!!!!!!!!!!

[ichariley]

What is a toxic asset? :(

[Marine475]

So people start to consume again- where will the stuff come from? and since gov will take all the money from market to stimulate consumption where will businesses find capital to actually make the consumed stuff? Not that anybody will make anything, all that stuff comes from china anyway it's only packed and sold in EU and US. So after we ate all the stuff bought for borrowed money who will pay the bill?

[jstuart2003]

@Marine475 Capital doesn't seem to be the problem at the moment. The economy has no concerns over supply-side matters, it is currently most concerned with demand deficiency.

[TheWBarry]

What would happen if people just STOPPED using banks?

What would happen to our economy?

[sinister60804]

In my point of view, our regulatory system is creating more and more new regulation, hurting small business, we are heading in to a new type of oligopoly econonomic system, were only the big rules and survive, there are no free markets, thanks to our democrats, Capitalism is the only way of a free economic and political state, let the bad companies fail, that allways brings new and better companies.

[TheWBarry]

You are obviously from the USA. - but I like your way of thinking.. let the crap companies die, thus, gives room for new companies.

[mrzack888]

hurry up and post part 2

[rooney40]

How about you shut the fuck up?

[GIOGS]

lad!

[madblade]

Seems to be confusion with what are savings, dis-savings, more and less expenditures. All those are completely different. Just because business spend less on investments doesn't mean that they are saving, and vice versa.

[slimes23]

When people put money in stocks it has little direct influence on AD. The velocity fo circulation also slows during recessions, so the same moeny gets spent less often. Investment can only turn a profit if there are significant levels of consumption. There are mnay people who are still saving not to mention businesses. It's not just a Keynesian view a monetarist approach would see it as an excessive demand for money.

[slimes23]

Ricardain equivilance doesn't hold water. During recessions the marginal propensity to consume of most people (esp. the rich) falls. Therefore it is possible for the government to take private money that would otherwise have been saved rather than spent.

[BeerMan5000]

I love this guy.

[DiScUrNmEnT]

Thank You. For the first time in my life i understand economics in depth. You should be on CNN.

[AHamzahH]

@DiScUrNmEnT CNN?! Why waste his talent on that garbage Paj should run the world! Vote for President/Prime Minister/ Supreme Leader Phil at your next general election!

[endlessmountain]

Hello. I find your Good scen. to be bad and your Bad scen. to be good! We need to destroy the system that was made out of fear and lies like the Mayan Calendar consciousness was talking about. Jobs are nothing more than slavery and working for companies that produce items like cigarettes and beer is considered a good thing?

We are all slaves to the dollar and we need to change this as we more forward to the shift in consciousness which is a complete makeover in society

Go Glenn Beck!

[creatively12]

Thnx for the first part, was hoping whn would your problems of uploading will be solved