The full video can be found here ...
I put on here this link to bolster the argument for pessimism ... (as in "the fix is in" ...)
And this to show you a solution IS emerging ...
other links:
Showing posts with label global fiscal crisis. Show all posts
Showing posts with label global fiscal crisis. Show all posts
November 16, 2010
July 22, 2008
June 29, 2008
Massive Government and Private Sector Job Cuts Coming : Mish Shedlock
* Massive Government and Private Sector Job Cuts Coming -
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CNN Money is reporting State, city layoffs: 45,000 and counting.
With falling revenue from sales and income taxes, and property-tax declines looming, states, cities and towns have already laid off tens of thousands of government employees. The American Federation of State, County and Municipal Employees, a public employees union, says about 45,000 government layoffs have been announced this year.
There are 29 states, including California, Florida and Ohio, facing a combined budget shortfall of at least $48 billion in the fiscal year that starts July 1, according to the Center on Budget and Policy Priorities (CBPP), a liberal think tank.
There are nearly 20 million state and local government employees in the country. So a 1% decline in employment at cities, towns, schools and states would result in a job loss of almost 200,000 people, a much larger amount than we've seen from battered sectors such as automakers or home builders in the past two years.The effect of those layoffs will far outweigh any benefit of the economic stimulus package, much of which was already spent. We must use the word benefit loosely because government giving away money it does not have never produces any economic benefit.
Bank of America To Cut 7,500
MarketWatch is reporting Bank of America sees 7,500 job cuts after Countrywide close.
Bank of America Corp. (BAC) said Thursday it expects to make about 7,500 job cuts after acquiring Countrywide Financial Corp. (CFC) . Affected employees will start finding out their fate in the third quarter. "Citigroup to cut 6,500
The TimesOnline is reporting Citigroup and Goldman Sachs cut more staff.
Citigroup, America's largest bank, is expected to cut up to 6,500 investment banking jobs as much as 10 per cent of its roughly 65,000 headcount worldwide. It is believed that entire trading desks in New York, London and other cities will be eliminated. Senior managing directors will not be immune from the layoffs.
In April, Citigroup said that 9,000 jobs would go on top of the 21,000 eliminated in the past year. [This is yet another 6,500 - Mish]175,000 Financial Cuts Coming
Bloomberg is reporting Financial Firms May Make Deeper Cuts, Eliminate 175,000 Jobs.
The world's biggest financial firms may lose as many as 175,000 jobs by this time next year as Citigroup Inc. and other banks shed workers amid slowing revenue and billions in writedowns, executive recruiters say.
"The worst is yet to come," Russ Gerson, head of New York- based recruiting firm Gerson Group, said yesterday in an interview. "We are going to have a major contraction. This is affecting all areas of the investment banking universe and it's affecting all areas globally."
New York-based Bear Stearns Cos. is cutting more than 9,000 jobs, or 66 percent of its workforce, as it was acquired by JPMorgan Chase & Co. Zurich-based UBS AG has announced 7,000 job cuts, and Lehman Brothers Holdings Inc. has trimmed 6,300 employees.
The Independent Budget Office in Manhattan said in a report issued last month that it expects 33,300 finance jobs in the city, or 7.1 percent of the total, to be cut from the peak in 2007. The industry lost 52,500 jobs in New York during the 2000- to-2003 market drop.
About 17 percent of banking and securities jobs in New York were wiped out from 2000 to 2003, the Bureau of Labor Statistics said. The current round of cuts may claim 35 percent to 40 percent of the industry, said Gary Goldstein, chairman of New York-based financial recruitment firm Whitney Group.
"They just keep chopping heads," Goldstein said. "They'll wake up one day and realize that they've cut too deep and now these businesses have come back and they don't have anybody to do them."Goldstein Needs To Wake Up
This is the backside of Peak Credit.
None of the financial engineering jobs that fueled this credit boom will ever be needed again. SIVs, Conduits, Toggle Bonds, Covenant Lite loans are all dead for years, more likely decades to come. Add to that liar loans, Pay Option Arms, insane leverage, and numerous other ridiculous lending arrangements. And if those things are not coming back, we do not need Wall Street shills to securitize that garbage and pitch it to unsuspecting suckers.
More Mergers Coming Up
There are undoubtedly more bank mergers coming up. The strong swallow the weak to the point the strong become weak. And with each merger there will be more job cuts, massive job cuts. Bank of America's announced cutback of 7,500 related to its acquiring Countrywide is just a small down payment of what's coming down the pike.
Unemployment is poised to soar. Few are prepared for it.
Mike "Mish" Shedlock
http://globaleconomicanalysis.blogspot.com
There are 29 states, including California, Florida and Ohio, facing a combined budget shortfall of at least $48 billion in the fiscal year that starts July 1, according to the Center on Budget and Policy Priorities (CBPP), a liberal think tank.
There are nearly 20 million state and local government employees in the country. So a 1% decline in employment at cities, towns, schools and states would result in a job loss of almost 200,000 people, a much larger amount than we've seen from battered sectors such as automakers or home builders in the past two years.The effect of those layoffs will far outweigh any benefit of the economic stimulus package, much of which was already spent. We must use the word benefit loosely because government giving away money it does not have never produces any economic benefit.
Bank of America To Cut 7,500
MarketWatch is reporting Bank of America sees 7,500 job cuts after Countrywide close.
Bank of America Corp. (BAC) said Thursday it expects to make about 7,500 job cuts after acquiring Countrywide Financial Corp. (CFC) . Affected employees will start finding out their fate in the third quarter. "Citigroup to cut 6,500
The TimesOnline is reporting Citigroup and Goldman Sachs cut more staff.
Citigroup, America's largest bank, is expected to cut up to 6,500 investment banking jobs as much as 10 per cent of its roughly 65,000 headcount worldwide. It is believed that entire trading desks in New York, London and other cities will be eliminated. Senior managing directors will not be immune from the layoffs.
In April, Citigroup said that 9,000 jobs would go on top of the 21,000 eliminated in the past year. [This is yet another 6,500 - Mish]175,000 Financial Cuts Coming
Bloomberg is reporting Financial Firms May Make Deeper Cuts, Eliminate 175,000 Jobs.
The world's biggest financial firms may lose as many as 175,000 jobs by this time next year as Citigroup Inc. and other banks shed workers amid slowing revenue and billions in writedowns, executive recruiters say.
"The worst is yet to come," Russ Gerson, head of New York- based recruiting firm Gerson Group, said yesterday in an interview. "We are going to have a major contraction. This is affecting all areas of the investment banking universe and it's affecting all areas globally."
New York-based Bear Stearns Cos. is cutting more than 9,000 jobs, or 66 percent of its workforce, as it was acquired by JPMorgan Chase & Co. Zurich-based UBS AG has announced 7,000 job cuts, and Lehman Brothers Holdings Inc. has trimmed 6,300 employees.
The Independent Budget Office in Manhattan said in a report issued last month that it expects 33,300 finance jobs in the city, or 7.1 percent of the total, to be cut from the peak in 2007. The industry lost 52,500 jobs in New York during the 2000- to-2003 market drop.
About 17 percent of banking and securities jobs in New York were wiped out from 2000 to 2003, the Bureau of Labor Statistics said. The current round of cuts may claim 35 percent to 40 percent of the industry, said Gary Goldstein, chairman of New York-based financial recruitment firm Whitney Group.
"They just keep chopping heads," Goldstein said. "They'll wake up one day and realize that they've cut too deep and now these businesses have come back and they don't have anybody to do them."Goldstein Needs To Wake Up
This is the backside of Peak Credit.
None of the financial engineering jobs that fueled this credit boom will ever be needed again. SIVs, Conduits, Toggle Bonds, Covenant Lite loans are all dead for years, more likely decades to come. Add to that liar loans, Pay Option Arms, insane leverage, and numerous other ridiculous lending arrangements. And if those things are not coming back, we do not need Wall Street shills to securitize that garbage and pitch it to unsuspecting suckers.
More Mergers Coming Up
There are undoubtedly more bank mergers coming up. The strong swallow the weak to the point the strong become weak. And with each merger there will be more job cuts, massive job cuts. Bank of America's announced cutback of 7,500 related to its acquiring Countrywide is just a small down payment of what's coming down the pike.
Unemployment is poised to soar. Few are prepared for it.
Mike "Mish" Shedlock
http://globaleconomicanalysis
April 23, 2008
Bank of Canada lowers target for overnight rate to 3%
By Kate Gibson
Last update: 9:07 a.m. EDT April 22, 2008
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NEW YORK (MarketWatch) -- The Bank of Canada on Tuesday said it is lowering its target for the overnight rate by 50 basis points to 3%, with the bank projecting a "deeper and more protracted slowdown in the U.S. economy." The bank forecast the Canadian economic would grow by 1.4% this year, and 2.4% in 2009. End of Story
starthrower is ranked in the community as Analyst
52.3% of Community members have fewer points">
52.3% of Community members have fewer points">
Sorry to all Canadians for the greed of some Americans. Americans seem to rule the world, for good or for ill. So often for ill.
allthemoney is ranked in the community as President
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The greedy lenders and the discontent people who thought they needed to impress their neighbors and co-workers brought this on them selves!
PLEASE DON'T GET ME INVOLDED AND BLAME ME AN AMERICAN!
WE GET BLAMED FOR ENOUGH AND HAVE NOTHING TO DO WITH IT!
THANKS!!!!!!
PLEASE DON'T GET ME INVOLDED AND BLAME ME AN AMERICAN!
WE GET BLAMED FOR ENOUGH AND HAVE NOTHING TO DO WITH IT!
THANKS!!!!!!
economics101 is ranked in the community as Analyst
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I think Starthrower was referring to the fact that Americans brought this on themselves. Consumers bought homes beyond their means (i.e. jumping at sub-prime mortgages offers) and the financial markets got caught with their pants down via securitization (i.e. through the use of MBSs and CDOs.) Seems to me that puts Americans (consumers AND financial institutions) in the guilty as charged category.
suntubi is ranked in the community as Manager
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Starthrower - grow up. The US does not rule the world, nor do they want to. Canadians do not need the apologies of one lone thinker.
MDASHL is ranked in the community as Vice President
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HAHAHA! You must have fallen asleep "sunning in your tubi" since 1913.
suntubi is ranked in the community as Manager
76.3% of Community members have fewer points">
76.3% of Community members have fewer points">
? 1913?
Knipfty is ranked in the community as President
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I welcome the lower rates. Not if the EU will get on board and start lowering their rates, the world economy may actually start improving.
mysak is ranked in the community as President
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ECB won’t cut rates significantly (if at all), when the consumer prices in Europe went up. The inflation throughout EU zone and other countries (Sweden, Czech Republic, The Baltics) creates more concern than slowing growth rate. So far, inflation is in the highest level since 90’s and growth is still solid. Export was still up as of February, and there was significant surplus of trade. Therefore, inflation is the biggest obstacle for ECB. Food prices are responsible for rise of inflation in past several months. Milk, dairy products such as cheese and butter, wheat and barley, and beer is all up comparing to last year. Taking socialist approach of EU toward agriculture and farmers’ subsidies, the problem will not solve food inflation in short term.
hihosilver is ranked in the community as Director
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The world's economy cannot improve till we create equality between the haves and have nots. And this will, indeed, be an arduous task since we are simultaneously facing global warming with its consequence of wars fought over water, food. So we have a choice: level the playing field now or create a hideous future for the babies on Earth.
The problem between "haves" and "have nots" is all in the mind. All of God's kids are entitled to having as much abundance and prosperity as they desire. Leveling the "playing field" or redistributing wealth is not a solution - it's been tried a million times through political revolutions and only leeds to needless suffering and bloodshed. The key is in teaching people to change how they process their world and themselves within their own minds. Prosperity is a matter of perception and achieving abundance is mainly a non-religious spiritual excercise of sorts... 
HipCatPat is ranked in the community as President
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Mijomar67 is ranked in the community as Director
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Hey HipCatPat...take the 'religious' filter out of your picture of the world and then take a good look. How hard were you willing to work for what you've got? How much of that hard work is in your mind, your preception...bs. Its always about how hard a person wants to work for what they desire, and are willing to sacrafice for, period, regardless of their religious attitudes.
Mijomar67 is ranked in the community as Director
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In the long run, it all boils down to too many people going after a set of fast declining resources, globally. Everyone thought, for years, that they could have as many children as they could afford and then one or two more. Now we're all paying for that lack of foresight, and may never recover, at least not in our lifetimes. We should all, across the globe,consider limiting our family size to a total of four. That wont solve todays or tomorrows problems, but it will give our childrens children, and an over exploited planet, a better chance of regaining its' it poductive balance.
Nature will not wait for us to come to our collective senses, but will make its own adjustments and it wont be pleasant.
Nature will not wait for us to come to our collective senses, but will make its own adjustments and it wont be pleasant.
Interesting. Best countries in which to invest
Best Countries to Invest | ||||
| Georgia | ||||
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| United States | ||||
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| Ukraine | ||||
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| Armenia | ||||
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| Poland | ||||
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| Kazakhstan | ||||
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| UK | ||||
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| Turkey | ||||
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| Germany | ||||
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| Azerbaijan | ||||
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| Italy | ||||
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| France | ||||
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| Number of Voters | : 242 |
| First Vote | : 09/03/2008 17:12 |
| Last Vote | : 23/04/2008 10:21 |
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"deeper and more protracted slowdown in the U.S. economy"
But the bulls continue to dream about the US economy coming out of all problems soon.