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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?


To: TobagoJack who wrote (55771)10/3/2009 1:21:48 PM
From: elmatador  Read Replies (1) | Respond to of 217610
 
Great unwinding 1st phase completed. Bank run avoidance achieved.
Great cost that to avoid terrible consequences for developed world economies.
Bank run avoidance by OECD countries suck money from trade finance and caused short term disruption on trade.
Depleted commodities provided opportunity to replenish inventories.

Down turn forced emerging markets to inject money on their economies boosting consumption.
OECD economies that depend on consumption has n o way to return to growth and employment since consumer is in debt.
A few measures to increase consumption –car clunkers- avoided bankruptcy of car companies and more misery.

As the crisis is fully recognized to be an OECD matter, money has returned to emerging markets and 2010 growth will return to pre-crisis level.