The document discusses the root causes of the 2008 financial crisis and housing market collapse. It argues that subprime mortgages were only part of the problem and that overconsumption fueled by rising home values and easy credit contributed significantly. It also discusses how financial innovations like securitization and derivatives spread risk in unhealthy ways. The growth of markets for mortgage-backed securities and credit default swaps enabled excessive leverage that crippled the global financial system when the housing bubble burst. The document calls for drastic action in the next 60 days to restructure debt, cut entitlements, healthcare costs, and the military to regain fiscal control and credibility of the US dollar.
The document summarizes Juan Enriquez's presentation on the root causes of the 2008 financial crisis and proposes 10 commandments for the first 60 days of the next US president to address the systemic debt issues facing the country. The presentation argues that over-leveraging, risky financial instruments, and excessive debt levels across government, corporations and individuals caused the crisis and that simply spending and borrowing more will not solve the problem. Drastic action is needed to cut entitlements, debt, military spending and healthcare costs in order to get US spending in line with revenues and restore fiscal responsibility.
The article discusses tensions between supporters of developing a covered bond market in the United States and the Federal Deposit Insurance Corporation (FDIC). The House Financial Services Committee passed the US Covered Bonds Act of 2011 over objections from the FDIC. Rep. Scott Garrett, a bill co-sponsor, criticized a breakdown in communication with the FDIC and the introduction of amendments aimed at weakening the bill. The passage of the bill sets up future regulatory fights with the FDIC and political challenges gaining final approval.
It takes a pillage behind the bailouts, bonuses, and backroom deals from wash...polo0007
This document provides an introduction to the book which argues that the 2008 financial crisis, known as the Second Great Bank Depression, was man-made and avoidable. It criticizes the response from Washington and the Federal Reserve, which has amounted to over $13 trillion in bailouts that have left the underlying banking structures intact. The author argues that true reform is needed to change the culture of Wall Street, which remains addicted to profits, bonuses, size and winning at the expense of responsibility. Minor punishments or scapegoats will not lead to real change.
Beyond 2012. What on Earth with Mathematics, Geometry and Fibonacci sequence.Paolo Pomponi
All of life is animated by a single fantastic energy, which is the essence of everything that is -- including you. Isn't that amazing? Now, because this essence is who you are and what you are made of, the Reversal Pole shift can obviously affect you, all, and behavioral.
In December 2012 the World Won't End, but It can be the time of the Winter Solstice from the precession of the equinox. Reality and Fact are that we are NOW in the transition period of the Magnetic Pole shift. Don’t worry; it is the rule and not an exception.
So why and what can happen during the magnetic reversal? I just try to show you it with picture in the attached xmas2012.pdf. Feedbacks are welcome.
Season Greetings
Paolo Pomponi
Customer Engagement Masterclass Part II: Why CRM is the New ERPG3 Communications
The document discusses a webinar on customer engagement and how customer relationship management (CRM) is becoming more important than enterprise resource planning (ERP) for retailers. It outlines how retailers are shifting from product-focused to customer-centric strategies using tools like clienteling, customer analytics, and personalization to improve the customer experience. Successful retailers are treating customers as individuals, gathering data to understand their preferences, and using that insight to deliver personalized service, products and communications.
The document summarizes Juan Enriquez's presentation on the root causes of the 2008 financial crisis and proposes 10 commandments for the first 60 days of the next US president to address the systemic debt issues facing the country. The presentation argues that over-leveraging, risky financial instruments, and excessive debt levels across government, corporations and individuals caused the crisis and that simply spending and borrowing more will not solve the problem. Drastic action is needed to cut entitlements, debt, military spending and healthcare costs in order to get US spending in line with revenues and restore fiscal responsibility.
The article discusses tensions between supporters of developing a covered bond market in the United States and the Federal Deposit Insurance Corporation (FDIC). The House Financial Services Committee passed the US Covered Bonds Act of 2011 over objections from the FDIC. Rep. Scott Garrett, a bill co-sponsor, criticized a breakdown in communication with the FDIC and the introduction of amendments aimed at weakening the bill. The passage of the bill sets up future regulatory fights with the FDIC and political challenges gaining final approval.
It takes a pillage behind the bailouts, bonuses, and backroom deals from wash...polo0007
This document provides an introduction to the book which argues that the 2008 financial crisis, known as the Second Great Bank Depression, was man-made and avoidable. It criticizes the response from Washington and the Federal Reserve, which has amounted to over $13 trillion in bailouts that have left the underlying banking structures intact. The author argues that true reform is needed to change the culture of Wall Street, which remains addicted to profits, bonuses, size and winning at the expense of responsibility. Minor punishments or scapegoats will not lead to real change.
Beyond 2012. What on Earth with Mathematics, Geometry and Fibonacci sequence.Paolo Pomponi
All of life is animated by a single fantastic energy, which is the essence of everything that is -- including you. Isn't that amazing? Now, because this essence is who you are and what you are made of, the Reversal Pole shift can obviously affect you, all, and behavioral.
In December 2012 the World Won't End, but It can be the time of the Winter Solstice from the precession of the equinox. Reality and Fact are that we are NOW in the transition period of the Magnetic Pole shift. Don’t worry; it is the rule and not an exception.
So why and what can happen during the magnetic reversal? I just try to show you it with picture in the attached xmas2012.pdf. Feedbacks are welcome.
Season Greetings
Paolo Pomponi
Customer Engagement Masterclass Part II: Why CRM is the New ERPG3 Communications
The document discusses a webinar on customer engagement and how customer relationship management (CRM) is becoming more important than enterprise resource planning (ERP) for retailers. It outlines how retailers are shifting from product-focused to customer-centric strategies using tools like clienteling, customer analytics, and personalization to improve the customer experience. Successful retailers are treating customers as individuals, gathering data to understand their preferences, and using that insight to deliver personalized service, products and communications.
The document discusses the marketing of real estate investments. It begins with an introduction to publicly and privately held commercial real estate, as well as an international perspective. It then presents a case study of Falcon Real Estate Investment Company and their chief marketing officer. The document concludes by discussing traditional and alternative global asset classes in real estate and how real estate investing has evolved with private equity models.
The document summarizes the global financial crisis that began with the subprime mortgage crisis in the United States. Low interest rates and easy credit led many borrowers who could not qualify for prime loans to receive subprime loans. When housing prices declined and borrowers defaulted, banks suffered huge losses writing off subprime loans. This credit crunch spread globally as banks became wary of lending, slowing economies worldwide. The crisis demonstrates the need for regulatory frameworks to prevent unchecked greed from negatively impacting billions of lives.
Credit Crisis Presentation - Oct 9th 2008Wynn Quon
Presentation for the Canadian MoneySaver Share Club. How did we get here? What's ahead? Is my money safe? Should I sell? Opportunities in the wreckage. Most common mistakes investors make during bear markets and how to avoid them.
The document analyzes the debt crisis facing the Eurozone and presents four potential scenarios for how the crisis could unfold over the next 3 years: 1) a return to normal growth and stability, 2) high inflation leading to currency reforms, 3) an uncontrolled economic reset, or 4) a controlled reset through reforms and debt restructuring that allows for recovery. It argues current policies of taking on new debt to pay old debts will fail to solve the problem and more decisive action is needed to reduce debt burdens in a sustainable way.
Michael Chappell is the director of Pracsys Economics. He discusses the impact of the global financial crisis on local property markets. The key points are that property, equity, and commodity bubbles burst simultaneously, leading to a deep and quick economic decline. Unemployment is expected to rise to over 8% and further falls in property prices of 10% or more are anticipated in 2009 due to unemployment. On the positive side, Australia has strong population growth and will eventually see supply catch up to demand after 2012.
How Deep Does the Rabbit Hole Go - The Financial Crisis, What Went Wrong and WhyG Wheeler,Jr.
This document discusses the global financial crisis of the late 2000s and the aftermath. It argues that outdated models of entrepreneurship and risk-taking led to over $900 trillion in lost global assets due to greed, corruption and unethical behavior. The crisis resulted in government bailouts of the automotive and banking industries through the TARP program. While intended to prevent economic collapse, TARP created a new protected class of "too big to fail" institutions and shifted trillions in losses to taxpayers. The architects of the crisis faced only minor penalties despite making risky bets against the very investments they had sold to customers.
This document discusses the global financial crisis of the late 2000s and the aftermath. It argues that outdated models of entrepreneurship and risk-taking led to over $900 trillion in lost global assets due to greed, corruption and unethical behavior. The crisis resulted in government bailouts of the automotive and banking industries through the TARP program. While intended to prevent economic collapse, TARP created a new protected class of "too big to fail" institutions and shifted trillions in losses to taxpayers. The document alleges that major banks knowingly sold toxic assets to customers and governments while betting against those same assets through derivatives. This led to a collapse in trust and global markets.
How Deep Does the Rabbit Hole Go - The Financial Crisis, What Went Wrong and WhyG Wheeler,Jr.
This document discusses the global financial crisis of the late 2000s and the aftermath. It argues that outdated models of entrepreneurship and risk-taking led to over $900 trillion in lost global assets due to greed, corruption and unethical behavior. The crisis resulted in government bailouts of the automotive and banking industries through the TARP program. While intended to prevent economic collapse, TARP created a new protected class of "too big to fail" institutions and shifted trillions in losses to taxpayers. The document alleges that major banks knowingly sold toxic assets to customers and governments while betting against those same assets through derivatives. This led to a collapse in trust and global markets.
2008 Stock Market Disaster Revised September 2012 For SlideshareJoe Collins
The 2008 Stock Market Disaster
The document summarizes the key events and factors that led to the 2008 stock market crisis. It discusses how deregulation of the banking industry in the 1990s allowed banks to engage in risky behaviors like predatory lending and investing in mortgage-backed securities and derivatives. It also examines the role of government policies like the Community Reinvestment Act in pressuring banks to lower lending standards. Ultimately, unregulated trading of mortgage-backed securities and derivatives like credit default swaps led to the crisis when the housing bubble burst in 2007-2008.
Fixed income investors must rethink bond allocations in a low yield environment. While bonds have historically provided stability and returns, government bond yields are now far below historical levels and are unlikely to provide the same benefits going forward. Alternative strategies like high yield bonds, leveraged loans, and convertibles may offer reasonable yields with less downside risk than traditional bonds if yields rise. A diversified "new age" fixed income portfolio that includes various income generating strategies is recommended over a traditional bond-heavy approach.
These slides were prepared for the State of the City event in Belfast, Northern Ireland, in October 2012. They examine why we need to rethink urban policy in general, and city centres in particular, in the light of the challenges and opportunities we now face.
This document provides an overview of a two-day seminar on decoding financial statements and investing in times of uncertainty. Day one covers financial ratios for measuring liquidity, profitability, and leverage. It also explains the profitability model for evaluating companies. Day two discusses sources of macroeconomic uncertainty, historical perspectives on market returns and risk, and how global demographics will influence future investment returns and economic growth. The seminar aims to help investors understand company and market fundamentals in order to make informed investment decisions.
The document discusses the disproportionate impacts of the housing and foreclosure crisis on communities of color. It describes how predatory lending practices like redlining and reverse redlining historically targeted minority neighborhoods and led to higher rates of subprime loans, predatory terms, and foreclosures. The crisis has exacerbated existing inequalities, with people of color facing massive losses of wealth, assets, and neighborhood stability as a result of the surge in foreclosures. The impacts demonstrate the need for systemic solutions that address both historic injustices and the interconnected global factors that drove the crisis.
The document provides an update from Agcapita on various economic issues in April 2010. It discusses the large fiscal deficits governments have incurred to deal with the financial crisis and how this has made governments insolvent. It argues that to finance deficits, governments will likely resort to inflation. It also notes Americans are underestimating how much they need saved for retirement and that demographic trends may make it difficult for governments to fund programs like social security and Medicare. Overall the update discusses rising government debt levels, the risk of higher inflation, and challenges with funding entitlement programs.
This document provides information about buying distressed properties such as foreclosures and short sales. It notes that distressed properties make up 45% of home sales and offer prices 20% below market value on average. Reasons to buy a distressed property are the lower price and greater availability, as around 300,000 foreclosures enter the market each month. The document provides details on financing distressed property purchases with FHA loans and who is typically buying these properties, such as first-time home buyers and married couples.
This document provides information about buying distressed properties such as foreclosures and short sales. It notes that distressed properties account for 45% of home sales and represent opportunities for great deals. Reasons to buy distressed properties are the significantly lower prices, which average 20% below market value, and the large number of such properties on the market. The document outlines the types of distressed properties and financing options for buying them.
This document provides information about buying distressed properties such as foreclosures and short sales. It notes that distressed properties account for 45% of home sales and represent opportunities for great deals. Reasons to consider distressed properties are the significantly lower prices, which average 20% below market value, and the large number of such properties on the market. The document outlines the differences between foreclosures and short sales and provides statistics on who is buying distressed properties.
This document provides information about buying distressed properties such as foreclosures and short sales. It notes that distressed properties account for 45% of home sales and represent opportunities for great deals. Reasons to buy distressed properties are the significantly lower prices, which can be 20% below market value on average, and the large number of such properties on the market. The document provides details on financing distressed property purchases and the types of buyers who are taking advantage of the opportunities in today's real estate market.
The document discusses Warren Buffett's investment strategy of maintaining financial flexibility through proactive financing, allowing Berkshire Hathaway to take advantage of opportunities when credit is tight and asset prices are low, though this strategy may penalize short-term earnings; it also emphasizes focusing investments on simple, predictable businesses rather than complex ventures with many variables.
Solution Manual For Financial Accounting, 8th Canadian Edition 2024, by Libby...Donc Test
Solution Manual For Financial Accounting, 8th Canadian Edition 2024, by Libby, Hodge, Verified Chapters 1 - 13, Complete Newest Version Solution Manual For Financial Accounting, 8th Canadian Edition by Libby, Hodge, Verified Chapters 1 - 13, Complete Newest Version Solution Manual For Financial Accounting 8th Canadian Edition Pdf Chapters Download Stuvia Solution Manual For Financial Accounting 8th Canadian Edition Ebook Download Stuvia Solution Manual For Financial Accounting 8th Canadian Edition Pdf Solution Manual For Financial Accounting 8th Canadian Edition Pdf Download Stuvia Financial Accounting 8th Canadian Edition Pdf Chapters Download Stuvia Financial Accounting 8th Canadian Edition Ebook Download Stuvia Financial Accounting 8th Canadian Edition Pdf Financial Accounting 8th Canadian Edition Pdf Download Stuvia
Enhancing Asset Quality: Strategies for Financial Institutionsshruti1menon2
Ensuring robust asset quality is not just a mere aspect but a critical cornerstone for the stability and success of financial institutions worldwide. It serves as the bedrock upon which profitability is built and investor confidence is sustained. Therefore, in this presentation, we delve into a comprehensive exploration of strategies that can aid financial institutions in achieving and maintaining superior asset quality.
The document discusses the marketing of real estate investments. It begins with an introduction to publicly and privately held commercial real estate, as well as an international perspective. It then presents a case study of Falcon Real Estate Investment Company and their chief marketing officer. The document concludes by discussing traditional and alternative global asset classes in real estate and how real estate investing has evolved with private equity models.
The document summarizes the global financial crisis that began with the subprime mortgage crisis in the United States. Low interest rates and easy credit led many borrowers who could not qualify for prime loans to receive subprime loans. When housing prices declined and borrowers defaulted, banks suffered huge losses writing off subprime loans. This credit crunch spread globally as banks became wary of lending, slowing economies worldwide. The crisis demonstrates the need for regulatory frameworks to prevent unchecked greed from negatively impacting billions of lives.
Credit Crisis Presentation - Oct 9th 2008Wynn Quon
Presentation for the Canadian MoneySaver Share Club. How did we get here? What's ahead? Is my money safe? Should I sell? Opportunities in the wreckage. Most common mistakes investors make during bear markets and how to avoid them.
The document analyzes the debt crisis facing the Eurozone and presents four potential scenarios for how the crisis could unfold over the next 3 years: 1) a return to normal growth and stability, 2) high inflation leading to currency reforms, 3) an uncontrolled economic reset, or 4) a controlled reset through reforms and debt restructuring that allows for recovery. It argues current policies of taking on new debt to pay old debts will fail to solve the problem and more decisive action is needed to reduce debt burdens in a sustainable way.
Michael Chappell is the director of Pracsys Economics. He discusses the impact of the global financial crisis on local property markets. The key points are that property, equity, and commodity bubbles burst simultaneously, leading to a deep and quick economic decline. Unemployment is expected to rise to over 8% and further falls in property prices of 10% or more are anticipated in 2009 due to unemployment. On the positive side, Australia has strong population growth and will eventually see supply catch up to demand after 2012.
How Deep Does the Rabbit Hole Go - The Financial Crisis, What Went Wrong and WhyG Wheeler,Jr.
This document discusses the global financial crisis of the late 2000s and the aftermath. It argues that outdated models of entrepreneurship and risk-taking led to over $900 trillion in lost global assets due to greed, corruption and unethical behavior. The crisis resulted in government bailouts of the automotive and banking industries through the TARP program. While intended to prevent economic collapse, TARP created a new protected class of "too big to fail" institutions and shifted trillions in losses to taxpayers. The architects of the crisis faced only minor penalties despite making risky bets against the very investments they had sold to customers.
This document discusses the global financial crisis of the late 2000s and the aftermath. It argues that outdated models of entrepreneurship and risk-taking led to over $900 trillion in lost global assets due to greed, corruption and unethical behavior. The crisis resulted in government bailouts of the automotive and banking industries through the TARP program. While intended to prevent economic collapse, TARP created a new protected class of "too big to fail" institutions and shifted trillions in losses to taxpayers. The document alleges that major banks knowingly sold toxic assets to customers and governments while betting against those same assets through derivatives. This led to a collapse in trust and global markets.
How Deep Does the Rabbit Hole Go - The Financial Crisis, What Went Wrong and WhyG Wheeler,Jr.
This document discusses the global financial crisis of the late 2000s and the aftermath. It argues that outdated models of entrepreneurship and risk-taking led to over $900 trillion in lost global assets due to greed, corruption and unethical behavior. The crisis resulted in government bailouts of the automotive and banking industries through the TARP program. While intended to prevent economic collapse, TARP created a new protected class of "too big to fail" institutions and shifted trillions in losses to taxpayers. The document alleges that major banks knowingly sold toxic assets to customers and governments while betting against those same assets through derivatives. This led to a collapse in trust and global markets.
2008 Stock Market Disaster Revised September 2012 For SlideshareJoe Collins
The 2008 Stock Market Disaster
The document summarizes the key events and factors that led to the 2008 stock market crisis. It discusses how deregulation of the banking industry in the 1990s allowed banks to engage in risky behaviors like predatory lending and investing in mortgage-backed securities and derivatives. It also examines the role of government policies like the Community Reinvestment Act in pressuring banks to lower lending standards. Ultimately, unregulated trading of mortgage-backed securities and derivatives like credit default swaps led to the crisis when the housing bubble burst in 2007-2008.
Fixed income investors must rethink bond allocations in a low yield environment. While bonds have historically provided stability and returns, government bond yields are now far below historical levels and are unlikely to provide the same benefits going forward. Alternative strategies like high yield bonds, leveraged loans, and convertibles may offer reasonable yields with less downside risk than traditional bonds if yields rise. A diversified "new age" fixed income portfolio that includes various income generating strategies is recommended over a traditional bond-heavy approach.
These slides were prepared for the State of the City event in Belfast, Northern Ireland, in October 2012. They examine why we need to rethink urban policy in general, and city centres in particular, in the light of the challenges and opportunities we now face.
This document provides an overview of a two-day seminar on decoding financial statements and investing in times of uncertainty. Day one covers financial ratios for measuring liquidity, profitability, and leverage. It also explains the profitability model for evaluating companies. Day two discusses sources of macroeconomic uncertainty, historical perspectives on market returns and risk, and how global demographics will influence future investment returns and economic growth. The seminar aims to help investors understand company and market fundamentals in order to make informed investment decisions.
The document discusses the disproportionate impacts of the housing and foreclosure crisis on communities of color. It describes how predatory lending practices like redlining and reverse redlining historically targeted minority neighborhoods and led to higher rates of subprime loans, predatory terms, and foreclosures. The crisis has exacerbated existing inequalities, with people of color facing massive losses of wealth, assets, and neighborhood stability as a result of the surge in foreclosures. The impacts demonstrate the need for systemic solutions that address both historic injustices and the interconnected global factors that drove the crisis.
The document provides an update from Agcapita on various economic issues in April 2010. It discusses the large fiscal deficits governments have incurred to deal with the financial crisis and how this has made governments insolvent. It argues that to finance deficits, governments will likely resort to inflation. It also notes Americans are underestimating how much they need saved for retirement and that demographic trends may make it difficult for governments to fund programs like social security and Medicare. Overall the update discusses rising government debt levels, the risk of higher inflation, and challenges with funding entitlement programs.
This document provides information about buying distressed properties such as foreclosures and short sales. It notes that distressed properties make up 45% of home sales and offer prices 20% below market value on average. Reasons to buy a distressed property are the lower price and greater availability, as around 300,000 foreclosures enter the market each month. The document provides details on financing distressed property purchases with FHA loans and who is typically buying these properties, such as first-time home buyers and married couples.
This document provides information about buying distressed properties such as foreclosures and short sales. It notes that distressed properties account for 45% of home sales and represent opportunities for great deals. Reasons to buy distressed properties are the significantly lower prices, which average 20% below market value, and the large number of such properties on the market. The document outlines the types of distressed properties and financing options for buying them.
This document provides information about buying distressed properties such as foreclosures and short sales. It notes that distressed properties account for 45% of home sales and represent opportunities for great deals. Reasons to consider distressed properties are the significantly lower prices, which average 20% below market value, and the large number of such properties on the market. The document outlines the differences between foreclosures and short sales and provides statistics on who is buying distressed properties.
This document provides information about buying distressed properties such as foreclosures and short sales. It notes that distressed properties account for 45% of home sales and represent opportunities for great deals. Reasons to buy distressed properties are the significantly lower prices, which can be 20% below market value on average, and the large number of such properties on the market. The document provides details on financing distressed property purchases and the types of buyers who are taking advantage of the opportunities in today's real estate market.
The document discusses Warren Buffett's investment strategy of maintaining financial flexibility through proactive financing, allowing Berkshire Hathaway to take advantage of opportunities when credit is tight and asset prices are low, though this strategy may penalize short-term earnings; it also emphasizes focusing investments on simple, predictable businesses rather than complex ventures with many variables.
Solution Manual For Financial Accounting, 8th Canadian Edition 2024, by Libby...Donc Test
Solution Manual For Financial Accounting, 8th Canadian Edition 2024, by Libby, Hodge, Verified Chapters 1 - 13, Complete Newest Version Solution Manual For Financial Accounting, 8th Canadian Edition by Libby, Hodge, Verified Chapters 1 - 13, Complete Newest Version Solution Manual For Financial Accounting 8th Canadian Edition Pdf Chapters Download Stuvia Solution Manual For Financial Accounting 8th Canadian Edition Ebook Download Stuvia Solution Manual For Financial Accounting 8th Canadian Edition Pdf Solution Manual For Financial Accounting 8th Canadian Edition Pdf Download Stuvia Financial Accounting 8th Canadian Edition Pdf Chapters Download Stuvia Financial Accounting 8th Canadian Edition Ebook Download Stuvia Financial Accounting 8th Canadian Edition Pdf Financial Accounting 8th Canadian Edition Pdf Download Stuvia
Enhancing Asset Quality: Strategies for Financial Institutionsshruti1menon2
Ensuring robust asset quality is not just a mere aspect but a critical cornerstone for the stability and success of financial institutions worldwide. It serves as the bedrock upon which profitability is built and investor confidence is sustained. Therefore, in this presentation, we delve into a comprehensive exploration of strategies that can aid financial institutions in achieving and maintaining superior asset quality.
Economic Risk Factor Update: June 2024 [SlideShare]Commonwealth
May’s reports showed signs of continued economic growth, said Sam Millette, director, fixed income, in his latest Economic Risk Factor Update.
For more market updates, subscribe to The Independent Market Observer at https://blog.commonwealth.com/independent-market-observer.
Unlock Your Potential with NCVT MIS.pptxcosmo-soil
The NCVT MIS Certificate, issued by the National Council for Vocational Training (NCVT), is a crucial credential for skill development in India. Recognized nationwide, it verifies vocational training across diverse trades, enhancing employment prospects, standardizing training quality, and promoting self-employment. This certification is integral to India's growing labor force, fostering skill development and economic growth.
New Visa Rules for Tourists and Students in Thailand | Amit Kakkar Easy VisaAmit Kakkar
Discover essential details about Thailand's recent visa policy changes, tailored for tourists and students. Amit Kakkar Easy Visa provides a comprehensive overview of new requirements, application processes, and tips to ensure a smooth transition for all travelers.
In a tight labour market, job-seekers gain bargaining power and leverage it into greater job quality—at least, that’s the conventional wisdom.
Michael, LMIC Economist, presented findings that reveal a weakened relationship between labour market tightness and job quality indicators following the pandemic. Labour market tightness coincided with growth in real wages for only a portion of workers: those in low-wage jobs requiring little education. Several factors—including labour market composition, worker and employer behaviour, and labour market practices—have contributed to the absence of worker benefits. These will be investigated further in future work.
Fabular Frames and the Four Ratio ProblemMajid Iqbal
Digital, interactive art showing the struggle of a society in providing for its present population while also saving planetary resources for future generations. Spread across several frames, the art is actually the rendering of real and speculative data. The stereographic projections change shape in response to prompts and provocations. Visitors interact with the model through speculative statements about how to increase savings across communities, regions, ecosystems and environments. Their fabulations combined with random noise, i.e. factors beyond control, have a dramatic effect on the societal transition. Things get better. Things get worse. The aim is to give visitors a new grasp and feel of the ongoing struggles in democracies around the world.
Stunning art in the small multiples format brings out the spatiotemporal nature of societal transitions, against backdrop issues such as energy, housing, waste, farmland and forest. In each frame we see hopeful and frightful interplays between spending and saving. Problems emerge when one of the two parts of the existential anaglyph rapidly shrinks like Arctic ice, as factors cross thresholds. Ecological wealth and intergenerational equity areFour at stake. Not enough spending could mean economic stress, social unrest and political conflict. Not enough saving and there will be climate breakdown and ‘bankruptcy’. So where does speculative design start and the gambling and betting end? Behind each fabular frame is a four ratio problem. Each ratio reflects the level of sacrifice and self-restraint a society is willing to accept, against promises of prosperity and freedom. Some values seem to stabilise a frame while others cause collapse. Get the ratios right and we can have it all. Get them wrong and things get more desperate.
Discover the Future of Dogecoin with Our Comprehensive Guidance36 Crypto
Learn in-depth about Dogecoin's trajectory and stay informed with 36crypto's essential and up-to-date information about the crypto space.
Our presentation delves into Dogecoin's potential future, exploring whether it's destined to skyrocket to the moon or face a downward spiral. In addition, it highlights invaluable insights. Don't miss out on this opportunity to enhance your crypto understanding!
https://36crypto.com/the-future-of-dogecoin-how-high-can-this-cryptocurrency-reach/
Falcon stands out as a top-tier P2P Invoice Discounting platform in India, bridging esteemed blue-chip companies and eager investors. Our goal is to transform the investment landscape in India by establishing a comprehensive destination for borrowers and investors with diverse profiles and needs, all while minimizing risk. What sets Falcon apart is the elimination of intermediaries such as commercial banks and depository institutions, allowing investors to enjoy higher yields.
1. 10 Commandments for the first 60 Days
or
What if we can’t spend our way out of this
mess (and it only makes things worse)?
by Juan Enriquez
2. What if subprime
mortgages were only
part of the problem in
the housing market?
Even at the height of the real estate
bubble in 2006, sub prime mortgages
represented less than 25% of the
total mortgage market.
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
3. What if we were all
buying homes that we
couldn’t afford and
using the value of our
homes to fuel unbridled
consumption?
Over the last 10 years home
mortgages almost doubled as a
percentage of personal debt when
compared with the average over the
previous 50 years.
Source: Milken Institute
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
4. What if the banks did
not care how much
debt we took on as
long as they could sell
our mortgage to
someone else?
Securitizing mortgages spread the
risk of default. Lenders stopped
caring about risk because they
could sell risk to others. This
practice surged between 1980 and
2008, growing to encompass 59%
of a market over 11 times its
original size. The result was a race
for volume: quantity over quality.
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
5. What if the banks
borrowed against
these bad loans 10x
or 20x to expand
record profits?
Selling loans as assets meant
companies were leveraging their
Levers work both ways capital 10x, 20x…up to 40x.
(on the way up and on the way down!) This meant that one bad loan
could cause losses a dozen
times, in a hundred different
places within the financial
system.
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
6. Value of Credit Default Swaps Outstanding
($ Trillions)
What if the market
for securities to
insure these risky
loans grew bigger
than the economic
output of the entire
globe?
The credit default swap market
nearly doubled each year from
2001 – 2007 from less than $1
trillion to almost $55 Trillion
dollars, slightly more than Global
Source:ISDA
Gross Domestic Product. The
Total World GDP 2007 = $54.3 Trillion total market for unregulated
Value of all stocks on NYSE = $50.5 Trillion derivatives is $655 trillion.
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
7. $ What if the collapse
of this market
crippled every single
one of our economic
partners around the
world?
= “You can now buy the free float of
the entire Russian energy sector
$ with the market cap of Coca Cola…
and still have enough change to
buy all the Russian banks.”
Bloomberg: Merrill Lynch & Co. emerging markets
equity strategist Michael Hartnett.
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
8. What if we saw it coming but were making
too much money to do anything about it?
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
9. Some argued it was safe…
“The use of a growing array of derivatives and
the related application of more-sophisticated
approaches to measuring and managing risk are
key factors underpinning the greater resilience
of our largest financial institutions…derivatives
have permitted the unbundling of financial risks.”
Alan Greenspan, 2005
“Risk Transfer and Financial Stability”
Federal Reserve Bank of Chicago
Forty-first Annual Conference on Bank Structure
Chicago, Illinois
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
10. Others saw it differently…
“Unless derivatives contracts are collateralized
or guaranteed, their ultimate value also
depends on the creditworthiness of the
counter-parties to them…derivatives are
financial weapons of mass destruction, carrying
dangers that, while now latent, are potentially
lethal.”
Warren Buffet, 2002
Berkshire Hathaway
2002 Annual Report
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
11. Warren was right.
With no trust left in the system, credit markets
froze. Even borrowing
overnight became
very expensive
with businesses
charging each
other almost 5x as
much as they had
earlier.
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
12. What if this has happened many times
before in other countries?
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
13. It has happened before….
Country after country in our position followed the
same process during economic crisis:
1 Denial
2 Spend, Borrow, Borrow More
3 Go Broke
4 Brutal Adjustment
5 Rebuild
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
14. Japan 1986–2008
After years of
bailouts, stimulus,
and keeping
moribund
companies alive,
the value of the
Japanese stock
market is about ¼
of what it was 18
years ago.
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
15. But it could never happen to us, right?
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
16. Current View: What if?
The cause is subprime. The cause is larger than
It is a temporary subprime. There is too
dislocation of credit much debt—public,
markets. corporate, personal.
The problem is liquidity. We have been living
beyond our means for
The solution is decades.
stimulus, bailouts,
more debt. And all We need to get serious
can go back to about saving, cutting,
normal. working.
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
17. Denial (2001)
Having proposed a $1.6 trillion
tax cut, Bush said, quot;Our budget
is fiscally responsible. If enacted,
it will reduce the deficit by an
unprecedented amount over the
next four years.”
Tax cuts did not help.
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
18. A tax cut is not a tax cut
Unless you pay less,
And I pay less,
And our kids owe less.
Otherwise
It’s just a deferred loan,
With a high interest rate.
And now the bill has come due.
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
19. Spend, Borrow (2008)
Having proposed a $1 trillion
stimulus package, Bush said,
“I'm confident that this rescue
plan, along with other measures
taken by the Treasury
Department and the Federal
Reserve, will begin to restore
strength and stability to
America's financial system and
overall economy.”
We need to recognize that this is
a systemic debt crisis. Adding
more debt and not cutting it, can
be fatal.
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
20. We are living beyond our means.
As a nation, when you add government debt, plus
private, plus personal, we are now almost four times
what the entire economy produces per year.
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
21. And our options are shrinking quickly.
The $1 trillion bailout just cost us another 5-10 years
Sometime
The Bailout moves this Mandatory spending between 2030 and
date forward 5-10 years exceeds revenue 2040 mandatory
spending will
exceed govern-
ment revenues.
The cost of the
bailout will move
this date forward
giving us even less
time to get out of
this mess.
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
22. So what have we got left?
The dollar has to remain credible in medium to long
term, or else it becomes the ultimate short.
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
23. We need to act. Right now.
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
24. We don’t have much time…
The next President has a margin of 30-60 days to act,
to signal, to tell the world…
That we are serious about our currency
That we will try to live within our means
That our standard of living will reflect what we earn
Otherwise the dollar is toast…
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
25. If we don’t act…others will force us to.
Foreign governments own most of the debt that has
fueled our spending binge.
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
26. 10 Commandments for the first 60 days
1 We have to save the dollar. (AAA rating in jeopardy)
2 We have to fundamentally and brutally restructure debt.
3 All entitlements are fair game.
To begin with:
– Age 60–65: you probably just lost big chunk of your nest egg, your
Social Security/Medicare benefits are intact
– Age 55–60: we need two more years’ work from you
– Age 55 and under: we need three more years
4 Cut back military by 3% per year for ten years.
5 Cap medical costs at 18% GNP.
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
27. 10 Commandments for the first 60 days
6 We have to triage our support for companies (do not
attempt to save dying whales).
7 The program has to be bipartisan. It has to make D and
R unhappy.
8 Simplify and broadly apply Sarbanes Oxley, apply it to
government, apply it to hedge funds .
9 We will invest in growing start up companies. (which
create most jobs.
10 We will treat education as a varsity sport. (and
continue to recruit foreign PhDs).
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ
28. What can I do?
1 Check out the complete presentation:
http://www.poptech.org/juanenriquez/
2 Share this information with your friends and family.
3 Join the growing community that is demanding an
honest debate around our economic future:
http://hub.poptech.org/groups/29
4 Participate in shaping the 10 Commandments:
http://poptech.wiki.zoho.com/
Special thanks to Pop!tech & frogdesign.
10 COMMANDMENTS FOR THE FIRST 60 DAYS JUAN ENRIQUEZ