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| • Do you feel that the lending institutions are completely responsible for all the foreclosures? |
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Really, this is not Conservative or Liberal question (I don't think). I am not very knowledgeable on the real estate crisis and who's fault it is.
However, just looking at the surface of the situation I have to ask; Where is the American Public blame in this situation? I keep hearing the government and the lending institutions, am I naive to think the "ones" who signed their names to the loans are to blame at all?
Everybody the I personally know who has lost a house or is in the process of losing a house, did or is doing so because their payments went up so high that they could not afford them.
I know that I can not afford a $5000 a month house payment. I know that buying a house is an investment that is not guaranteed. Therefor I did not go out and buy a house that was beyond my means at this moment. It's common sense!
I really and truly feel for people who have lost there jobs because of the state of the economy and are in turn losing their houses.
I have a hard time feeling sympathy for someone who makes $40K a year and thought they could afford a $800K home.
Where has personal responsibility gone?
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| • Whose fault is the economic crisis anyway? |
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So let’s look at how we got here:
ILLUSIONS
Big part of what makes the American Dream is hope. However unrealistic, uneducated, and misinformed choices replace hope with illusions.
Buyers had the illusion that homes would always keep increasing rapidly in value. However, they failed to understand that the real estate market has cycles. Some of the factors that create a change in the market are increased amounts of supply or demand, deregulation of the financial industry, easy and available credit, low interest rates and much more.
People who bought homes they could not afford did it because they saw an opportunity to “invest” their life savings and achieve the American dream. They viewed this opportunity as attainable because banks made it possible, unscrupulous agents/brokers made them believe it was possible, and because they lacked the knowledge necessary to understand the responsibilities, risks and benefits of owning a home.
Other illusions buyers had was their wages. The had the illusion that their wages would go up enough year after year to cover their ever increasing debt due to a lavish life style. This illusion, the lack of financial education and self-control allowed for people to live well beyond their means.
Today people, banks, and our government are drowning in debt.
CREDIT
Competition in the market forces business to improve on their products and allows the consumer to purchase those products at affordable prices. However, competition between banks in a booming economy and low interest rates created a credit bonanza.
Instead of banks improving on their products and services, they began utilizing creative financial tools to attract more borrowers. They also lend money to risky borrowers with little regard of their qualifications. Anybody that had a pulse could literally get a loan.
Banks can’t accommodate the demand for credit only with their money reserves. So if they want to lend more money, they sell these mortgages to commercial banks and Wall Street lenders.
Financial Crisis: Who's Fault Is It, Anyway?
Doesn't matter.
Because just about everyone is to blame.
Republicans opened the door through debt-based credit derivatives and deregulation. Democrats further contributed by turning a blind eye to Fannie and Freddie and insisting that even those who couldn't really afford mortgages be allowed to get them. The Bush Administration touted consumer spending as a means to boost the economy, and encouraged reckless consumer behaviors with billions in "stimulus"money, all while fueling the national debt through a disastrous war and tax cuts for people who don't really need them.
And, of course, greedy banks and mortgage lenders went along, doing their best to bilk whoever came through door for whatever they could get -- before passing the risk on to equally greedy investment banks and hedge fund managers. Consumers came along for the ride, abandoning reasonable financial practices and using credit to fuel materialism -- as well as making poor decisions by buying homes they couldn't afford with "creative" mortgage financing.
Nearly everyone shares some of the blame. This is not the time to bicker over who is most at fault. It doesn't matter. The past is past. It's time to move forward and fix the problem. REALLY fix the problem. With practical solutions (that's right, follow the link for just one alternative -- and better IMO -- solution) that don't involve throwing a large, arbitrary amount of money at the problem.
This is something that requires measured thought. And a change in how our society now views debt, money and the economy. There's no reason to rush into a bailout plan right now. Instead, a little more analysis is needed.
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| • Make money with only $6-- as seen on Oprah? |
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THIS IS NOT A SCAM - AS SEEN ON OPRAH
Hey guys, this is pretty cool and super easy.
Good Luck!
Make Money with your Paypal account as shown on Oprah! Please Read on
A little while back, I was browsing through news groups and came across an
article similar to this that said you could make thousands of dollars within
weeks with only an initial investment of $6.00!
So I thought, "Yeah right, this must be a scam", but like most of us, I was
curious, so I kept reading. Anyway, it said that you send only $1.00 to each
of the 6 email addresses stated in this article. You then place your name and address at the bottom of the list at the #6 position and post this message on online message boards/emails.
So after thinking it over, I thought about trying it.
I figured "what have I got to lose except $6.00, right?" So I invested the measly $6.00. Well GUESS WHAT!! Within days, I started getting money coming into my PayPal account! I was shocked! I figured it would end soon, but the money just kept coming in. In my first week, I made about $25.00, which means that 25 people joined the group after they saw my posted messages. By the end of the second week I had made a total of over $1000.00! In the third week I had over $10,000.00 and it's still growing. This is now my fourth week and I have made a total of over $20,000.00 and it's still coming in. It's certainly worth $6.00, and the few minutes it took to join PayPal. I have spent more than that on the lottery!
Here are the 3 easy steps to success:
REQUIREMENTS:
You must have a verified PayPal account (business or Premier – both free). If you do not have an account, take a few minutes to join PayPal FREE: http://www.paypal.com
Paypal is 100% secure and is used by millions of people worldwide.
The Internet's most trusted Internet banking system for your future income.
When creating your Paypal account make sure you use the same Email address as your user name in the list below so people can send money to your account.
STEP 1
Once you have a PayPal account, use your PayPal account to pay $1USD to EACH of the 6 Email Addresses below. PayPal sends the funds to people through their email address.
FOLLOW THESE EASY STEPS:
1. Log in to PayPal. Go to SEND MONEY tab.
2. Type in
Recipients name: (Email address)
Subject: "EMAIL LIST"
Category: "SERVICE"
Comments: "PLEASE ADD ME TO YOUR EMAIL LIST".
3. Next screen: CHECK PAYMENT DETAIL - Select "NO SHIPPING ADDRESS REQUIRED"
4. Send Money.
THAT'S IT. YOU'RE DONE!!
What you are doing paying for a service. People will then pay you for the same service once you email address is on the list below.
THIS IS ABSOLUTELY LEGAL!
You are requesting a legitimate service and you are paying for it!
Send $1USD to EACH of these Email addresses:
1) mailto:serenakphillips@yahoo.com.au
2) mailto:uvin_dude@live.com
3) mailto:bitemychilli@37.com
4) mailto:bella_dezine@yahoo.com.au
5) mailto:isagenix62@yahoo.com.au
6)mailto:raman.krithika@gmail.com
STEP 2
Now,... AFTER paying $1USD to each of the email addresses above, take the #1 Email Address off the list, move the other Email Addresses up (6 becomes 5, 5 becomes 4, etc.) and add Your Email Address as number 6 on the list.
STEP 3
Keep this article as close to the original as possible. Post this article to at least 200 newsgroups (there are thousands and thousands of groups). And email your message to as many people you can. Remember, the more you post and email the more money you make! For example you log onto any search engine like yahoo.com, google.com, altavista.com, excite.com then you search with subject like ‘millionaire message board’ or ‘money making message board’ or ‘employment message board’ or ‘money making discussions’ or ‘money making forums’ or ‘business message board’ etc.
Remember all of this is ABSOLUTELY LEGAL. You are creating a service!!
You have nothing to loose but everything to gain
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| • CorelDRAW suite X4 doesn't have R.A.V.E.? |
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Ok, so I love Corel, use it a lot. Prefer it over Adobe, but I just bought X4, the newest suite from Corel and does not contain R.A.V.E. and I do not see anywhere where it was implemented. How can we make flash videos and cartoons without R.A.V.E.? Why on earth did they remove it!?!? I feel like I just made a bad investment.
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| • History that i really need help with!!!? |
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1. Under imperialism, strong nations attempted to
control weaker nations.
prevent immigration.
avoid contact with the outside world.
decrease the size of the military.
2. Which of the following was a factor in the growth of imperialism?
the shortage of manufactured products
the military threat from groups of smaller nations
the need for natural resources
the desire to learn from the cultures of other nations
3. An event leading to the Spanish-American War was
a rebellion in Puerto Rico.
a rebellion in Cuba.
Spanish attack on the Philippines.
Spain's annexation of the Hawaiian islands.
4. As a result of its victory in the Spanish-American War, the United States gained
important ports in Mexico.
Panama.
Puerto Rico and the Philippines.
a large section of China.
5. Theodore Roosevelt believed in
an aggressive foreign policy.
a cautious foreign policy.
no American involvement overseas.
economic, but not military, intervention.
6. A main goal of the Panama Canal was to
help Latin American economies become more independent.
improve relations between the United States and Colombia.
help European nations trade with Latin America.
allow the American Navy to move quickly from ocean to ocean.
7. In Asia, Roosevelt worked to
limit American military power.
cause conflicts between other nations.
keep markets open for American goods.
keep markets closed to American goods.
8. President Taft believed in
promoting American investment in foreign economies.
sending troops to support American policies.
avoiding all overseas involvement.
limiting business investment overseas.
9. After the Spanish-American War, opposition to imperialism
decreased.
grew stronger.
grew only within the government.
was based on the need for new markets.
10. Anti-imperialists believed imperialism was based on
racism.
ideals of liberty.
democracy.
humanitarian beliefs.
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| • Who would buy rangers? |
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Minty is getting desperate now, but who would buy,
A club £20m+ in debt
A club blighted by bigots, that have been discussed in parliament.
A team who have not won a championship in years.
A team who fail to make Europe, and trail their biggest rivals.
A team who need investment.
On top of this you will need to find £350m to fund a cunning plan the last chairman dreamt up.
In this financial climate who would want to invest their money in rangers?
billy the bigoted informer, If I'm so boring, I would appreciate if you don't answer my questions, as they are above you intelligence level.
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| • Should we help the auto industry, now that we handed AIG $170 billion no strings attached? |
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Today a fellow was talking about what they had to do. The thing is they threw this doom and gloom at us and everyone bought it. The big boys seemed to have been bailed out and with no strings attached.
On the other hand it would seem the car people and unions have made concessions. Start out pay at $15 an hour. They also pay for over a million peoples health care that are retired. Then the study showed for every job they have, they support approximately 7.3 other jobs. So as I said $25 billion is a drop in the bucket and it's not like it has not been done before as they did it with Chrysler and it paid off.
Isn't it just like Cap Hill to give the big money to something they don't have any idea about and then these guys come along that have a zillion in assets and make it hard as puling teeth.
i have done the math and it's a viable deal. As far as the rest of industry, most haven't have to revamp to meet environmental restrictions and all the other stuff. seems other countries support their auto industry and they have been trying and now two are selling jets. ha, I would put in no big expensive retreat party when they get the cash. This is a good investment. in my humble opinion. Take care. Convince me otherwise.
Ruth, I couldn't believe they just handed those guys the money and didn't even check into it. It was like a fire sale and had to be done right then and that should have thrown up a red flag, even the guy heading it up now was put of the group that packaged the bogus stuff. no I didn't support it either, but see that in the past the auto industry did get one and made it and they do support a ton of stuff and have assets.
It's like they gave all that money for stuff they didn't even know about. You know before we made good on some of China's investmemnts in our stuff that turned bad, so I don't suppport it as a bailout, I see it as an investmemnt. I also find it funny that the powers that be did just hand it ove and didn't now what was going on. In this case I think it is a pretty good investment. they have a vested interest in success.
It's sad tlhat they did scare the public and throw athe money to attorneys and cpas who have been cooking the books all along, they should have taken every penny the top guys got and throw that in the pot and scope out what was going on, but that is what we have up in Washigton right now.
So Auto dealers have assets and have to fight the environmentalist, the first group didn't even have to ask, just scare. Also put them in jail, but that would never happen, cause now a days you are not sluppose to be responsible. then again you are looking at over $60 trillion in this stuff they have done. Take care.
Thanks for the links wave. You know in China they execute CEOs that mess up like the toy sector, bet it would be different over here.
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| • A few question in accounting (correction please!) HELP!? |
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The cash flow statement replaced which accounting statement?
a. the profit and loss statement
b.The statement of changes in financial position
c. the statement of owner's equity
d. the income statement
( i know that... cash flow shows the money coming in and out of a firm
operating, financing, and investing sections)
The purchase of land for cash would be reported on the statement of cash flows as a
a. source of cash from operating activities.
b. use of cash for investing activities.
c. source of cash from financing activities.
d. use of cash for financing activities.
Which one of the following items is classified as an investing activity?
a. Cash receipts from interest revenue
b. Cash payments to purchase property
c. Additional investment in the company by the owner
d. Receipts of cash from customers for payment on their accounts
( i think its B)
The difference between “Net Operating Income” and “Gross Profit on Sales” is that net operating income
a. includes amounts from the “Other Income” section of the income statement.
b. is the same thing as gross profit on sales, and therefore there’s no difference.
c. includes deductions for operating expenses.
d. includes deductions for “Other Expenses.”
( i think its C)
Financial statements report financial data for either a period of time or for a particular date. Which of the following financial statements reports financial information for a particular date.
A. The balance sheet
B. The cash flow statement
C. The income statement
D. Both the balance sheet and the income statement
Which of the following transactions will cause an increase in assets and an increase in liabilities?
a. Office supplies are purchased for cash.
b. John Klein invests an additional $2,000 in his business.
c. Merchandise inventory is purchased on credit.
d. Goods are sold to a customer on account.
Owner’s withdrawals may be classified as
a. uses of cash. c. sources of income.
b. sources of cash. d. additional expenses.
( i think its a)
Which of the following transactions would not affect a company’s net income?
a. A cash withdrawal by the owner
b. The payment of employees’s salaries
c. Services provided for clients on account
d. Interest earned on invested money
In the preparation of an income statement, the accrual basis of accounting records
a. expenses when they’re incurred.
b. revenues when collections are made on account.
c. only cash sales during the period.
d. only cash expenses during the period.
The operating expenses of a company include all of the
following except
A. wages paid to an employee.
B. rent paid to a landlord.
C. commissions earned by a salesperson.
D. cash withdrawn by the owner or owners.
( i think its D)
Which of the following items is reported in income statements?
A. Cash flows C. Assets and equities
B. Owner’s investments D. Revenues and expenses
( i think its D)
Which one of the following accounts would not appear on a balance sheet?
A. Mortgage payable C. Jack Kapp, Capital
B. Interest expense D. Notes receivable
( i picked B)
Help is appreciated
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| • 24% Returns in commodity investment? |
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Hi guys, i'm a commodity invester considering pumping at least 150grand for a gold investment program. The returns is 2% per month however,its mandatory in the contract that i have to invest for a minimum 2-4months.The payment is made in cash and once the contract is over, i pass back the gold and i 'll get back my 150grand + (2% /- ) interest.
Well, Not just the 2% per month, the direct gold-in-hand is another attractive feature of the program.
Anyone tell me, what is your point of veiw..
Current situation of the commodity market too.
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| • How to get out of ULIP? |
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I have taken last year Reliance Automatic Investment plan ULIP policy, term of 16 yrs and annual premium amount of 25000/- Rs. Now Iam no more interested in investing in ULIP and want to get out of this. I really dont understand what are the terms and conditions of Reliance automatic investment plan ULIP either. Now I want to stop paying premium and want my money back,....not expecting my 25000 back but atleast some amount of it.If so how much i wil be able to get
Please let me know if I can get my money back and get rid out of this.
Please advise me regarding this.
Many thanks
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| • PLEASE help calculus question!? |
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Find the amount of time required for a $2000 investment to double if the annual interest rate r is compounded ...
(a) annually
(b) monthly
(c) quarterly
(d) continuously
when r = 8.25%
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| • Why do people keep saying banks aren't lending? |
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Traditional bank loans have exploded more than 175%.
What isn't happening is that banks aren't able to bundle up those loads into bonds and sell them on the securitized debt market because the bottom dropped out of that market, and banks have reserve requirements, so they cannot over-leverage themselves like the investment banks were allowed to do when all regulations regarding leverage were repealed for them in 2004.
Because banks cannot sell the loans, they must keep them on their books and they cannot make as many loans, but they sure as heck are loaning money.
The fact is that the shadow banking system for secondary debt-based derivatives has collapsed, and nobody is buying that paper, and so those "assets" are basically worthless.
What has changed is cheap, risky credit no longer exists.
So why do people keep saying banks aren't loaning money?
Umm "loans" not "loads"--sorry... typo
Good point on the credit spreads, but look at it from a bank's perspective, you are loaning money out on an asset that is likely to depreciate 20% while we head into deflation, so the risk of default is higher.
Good point on the credit spreads, but look at it from a bank's perspective, you are loaning money out on an asset that is likely to depreciate 20% while we head into deflation, so the risk of default is higher.
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| • How can i bring pakistani rupee to UK? |
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I made an investment in property in kashmir 4years ago luckly it all went well, i know have £400,000 estimate in pakistani rupees how can i bring it to the uk?
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| • What to look for in a land investment? |
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I want to invest in rural acreage.
I want to make sure It will rise well in value and sell quickly when I no longer want to hold it (10 years or so).
What should I look for?
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| • Are you ready to lose your job? |
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The initial plans of the Obama administration include raising the Capital Gains Tax from 15% to 28%. As far as workers are concerned there can be only two possible results of that action. Either business will reduce their number of employees, or they will move their businesses overseas.
Welcome to "Change You Can Believe In."
http://www.usnews.com/blogs/capital-commerce/2007/9/19/obama-pushes-for-higher-investment-taxes.html
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| • Present Value of bond? |
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I am having difficulty in understanding a problem and I hope you could shed some light on the topic. The problem is:
An investor's $15000,000 share/account at a hedge fund pays an annually adjustable (risk free + Risk premium) percentage return to the principal amount per annum. Risk premium (RP) on the investment is 0ne-hundred-and-twenty-five percent of the risk-free rate (rf) of return. It is a common prediction shared by a vast majority of interest rate analysts that the risk-free rate (rf) will increase annually at the rate of 12% for the next four years. Following the interest rate growth, a sharp decline will take place. Currently, analyst predict the rate of interest rate growth past the four year mark to be (-18.5%) perannum for two consecutive years; and no growth past the four-year are predicted to occur thereafter. Knowing that the risk-free rate now is 4.33% and assuming that the prediction are accurate, consider the following situation:
The investor would like to convert (sell) the stream of payment he would receive over the next eight years into (for) immediate liquidity for personal reasons. Just fancy that you work at an organization that is willing to buy the cash flow. Price it. How much will you wire transfer into the investor's bank account before 3pm today; if before doing so you apply as required the "liquidity" fees of 2% and the "uncertainity" fees of 6% to the present value of the funds?
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| • Should Barney Frank and Chriss "Countrywide" Dodd both be prosecuted, found guilty, and executed? |
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Apparently the people in the Northeast don't know when they are being raped by the people who are supposed to work for them. Frank pushed for more bad loans to benefit his live-in boy friend and then in July of this year LIED about the state of Fanny Mae and Freddie Mac which caused more bad loans and investments. Dodd took payoffs from Countrywide in cash plus a special loan rate. Both of these bloated bags of shi* did these things while Chairmen of their respective banking/finance committees and took advantage of their positions for personal profit and have cost the citizens of the country trillions of dollars. jobs, and retirements. .
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| • Is the Obama win destroying your 401K? |
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Go ahead and tell me it's all GW's fault because that's the first thing that comes from you Obama supporters. The truth is the stock market has gone down 1600+ points since November 4th. If the world was so confident that Obama could salvage "Bush's mess" than the markets would have gotten a little push rather than a decline. Markets are anticipatory so yes, you can blame the Obama win for some of this downturn as the investors are anticipating what effect Obama's tax plan will have on their investments. Fannie, Freddie, the auto industry....they are very much a part of the problem but not something that can't be fixed...if the world wasn't so nervous about Obama that 700 billion would have already helped to stablize the market....Obama is the reason for the economic downturn....sorry but you've got to face the truth...I have and I'm out ten thousand so far...
Prop4U...don't care if the world loves him...my wallet doesn't...someday you'll understand real world finance
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| • What is a debt instrument? |
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I found the description listed below, but I'm still unclear what a debt instrument is. Could someone please put it in plain English, and give a sound example? According to the description below, a bank could take the debt owed to them (for example if they lend Joe Blow $1000) and sell that debt to some other company in the short term? Not sure if I get it. Thanks.
---
obligation that describes a debt that is assumed by the issuer of the document. Essentially, the debt instrument commits the issuer to reimburse the debt according to terms agreed upon between the buyer and the seller. Some examples of debt instruments include corporate and municipal bonds, Commercial Papers, Treasury Bills, and Certificates of Deposit. One of the benefits of the debt instrument is that the document makes it possible to effectively transfer the ownership of debt. It is common for creditors to trade debt obligations as a means of generating revenue and keeping liquidity at a higher rate. The end result is that it is possible for lenders to make use of the funds collected from investors while still protecting those investments and be in a position to make interest payments as well as eventually repay the principle of the debt as well.
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| • Suppose that Pfizer, a U.S. firm, purchases $1 million worth of laptop computers from? |
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Suppose that Pfizer, a U.S. firm, purchases $1 million worth of laptop computers from Sony, a Japanese firm. The laptops are produced in Japan.
Sony exchanges the $1 million at Tokyo Bank for 100 million yen. Tokyo Bank lends the $1 million to Honda Motor Company, which uses it to expand its automobile manufacturing facility in Indiana.
13.4. The expansion of the Honda plant in Indiana represents which of the following?
A. Japanese foreign direct investment in the United States
B. Japanese exports to the United States
C. Japanese foreign portfolio investment in the United States
D. Japanese imports from the United States
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| • Formula to calculate future value of periodic investment? |
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If you make a monthly investment of the X, and you know your monthly rate of return R, what's the formula to calculate the future value in n months?
I didn't quite ask this clearly. Let me re-explain.
I am adding the complexity that every month a recurring amount is being added.
Interest rate is negative, losing money, 1% per month
Month 0, deposit $100 = MO
Month 1, 100 + 0.99 x MO = M1
Month 2, 100 + 0.99 x M1 = M2
Month 3, 100 + 0.99 x M2 = M3
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| • Is it true and possible to earn money from internet without outsourcing and without any investment?How? |
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I got many email like online surveying,data entry and so on.They say they will give money after a specified amount.Again for specially online data entry, they want some dollar to start.But what is the true factor.And if I want to earn money from internet without investment and without doing programming,then is it possible.If possible then How?Please give me answer only which you did,apply and got money.Because I know many web address which is just say but not give money.So please answer me after sure.Thanks.
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| • math help.. please ? |
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solve for x:
x+3 3 x-5
------ = --- + -----
6 8 4
find the accumulated value of an investment of $20,000 at 8% compounded semi-annually for 9 years
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| • Accounting Question Statement of Cash Flows? |
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Which of the following would appear in the investing section of the statement of cash flows?
a) A stock-brokerage frim earns revenue by providing investment advice.
b) A business purchases land on which to build an office
c) The owners of a company invest cash in the business
d) A company repays money it borrowed from the local bank
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| • 4) The Great Depression challenged? |
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A) the long-run model that was based on Classical assumptions.
B) the economist's ability to explain economic trends using supply and demand analysis.
C) the value of business investment decisions.
D) the role of the Supreme Court in formulating economic policy.
E) the assumptions of the Keynesian model.
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