Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Waiting for the big Kahuna -- Ignore unavailable to you. Want to Upgrade?

To: Hawk who wrote (88735)	7/13/2009 10:10:34 PM
From: Real Man	Read Replies (2) \| Respond to of 94695

Well, we will likely have hyperstagflation, a condition that happens during a run on the currency. Gonna be worse than deflation. If we don't hyperinflate, that is -g- That said, Brazil, Russia, India, and China are a different ballpark game. These countries suffered through severe economic downturns while we bid up dot-com shares in the 90-s. Labor is ultra cheap, jobs are going there. They will keep growing.

To: Hawk who wrote (88735)	7/13/2009 10:36:01 PM
From: Real Man	Read Replies (1) \| Respond to of 94695

Bankruptcy of the country is not fun - rates rise to da sky, along with grocery, energy, and gas bills, while the value of your house is cut 70% along with your stock portfolio. Needless to say, it is accompanied by widespread bankruptcies, defaults, a complete banking system failure, riots and crime. It happened in many countries, Argentina in particular and Iceland last year (used to be a wealthy country in 2006 -g-), but US is thought to be immune to it somehow, cause it's too big to fail, and US credit rating agencies will never downgrade US sovereign debt. Nevertheless, since the Fed is monetizing treasuries, we effectively defaulted on that debt. So? The market could decide to dump them at any moment <G> And then there is hyperinflation, which is even worse, cause your living standard drops to zero, chaos erupts and money is no longer used as a medium of exchange. Both outcomes are a lot worse than the Great Depression. Gulp!