Is the BBC Avoiding Critical Topics Like U.K Bankruptcy?

chucky

chrisweb wrote: »

I break your theory as I'm doing pretty well. But I wouldn't really call myself a doomsayer - I just consider all options rather than convincing myself there's only one possible route.

that's why i used the word "usually" in my post

chucky

chrisweb wrote: »

Germany bank leveraging was hugely high. Check out the german banks in this table.
http://www.webtvhub.com/bankrupt-britain/
Apaarently a 60:1 average!
It was about 10:1 in U.S
UK's somwehere in between but not sure exactly where.

That big leveraging will apparently multiply profits in the boom, but multiply losses in the bust.

sorry but can't see your article due to my work firewall.

but from reading your post Germany will have a need for a bigger bank bail out - while the UK has had an average one.

who is in the better position?

chrisweb

Can everyone on both sides stop arguing like kids. I'm sure you have better things to do with your life than argue with people you don't know, will probably never meet, and who will never agree with you. It makes using this forum a misery.

Why not just share and contrast information and insight politely.

Sources for Germany 60:1 bank leveraging for those who aren't here to insult each other:
- http://fora.tv/2008/10/21/Geopolitical_Consequences_of_the_Credit_Crunch#Niall_Ferguson_The_Benefit_of_the_Credit_Crisis
- http://shop.ceps.eu/downfree.php?item_id=1712

chrisweb

chucky wrote: »

sorry but can't see your article due to my work firewall.

Check the sources in the last post

but from reading your post Germany will have a need for a bigger bank bail out - while the UK has had an average one.

who is in the better position?

You can't rely on just one part of the equation to work out full results. There are multiple indicators of an economies strength.

For one thing the surplus means Germany can afford a bigger bailout, while the UK can't. Just look at UKs position compared to Germany's position on this list:
http://en.wikipedia.org/wiki/List_of_countries_by_current_account_balance

Secondly some say the Euro gives Germany a bigger monetary base to play with than sterling.

Germany went into the recession a much stronger economy than the UK and I personally think they'll come out ahead of the UK too. That's not to say they don't have their own tough issues too.

Anyway got work to do - so I'll leave the rest of you to argue - have fun!

chucky

chrisweb wrote: »

Why not just share and contrast information and insight politely.

that's what we are doing

chrisweb wrote: »

Sources for Germany 60:1 bank leveraging for those who aren't here to insult each other:
- http://fora.tv/2008/10/21/Geopolitical_Consequences_of_the_Credit_Crunch#Niall_Ferguson_The_Benefit_of_the_Credit_Crisis
- http://shop.ceps.eu/downfree.php?item_id=1712

that proves my point to those who think that we are in a worse state than Germany due to the bank bail out - they in a bigger mess unfortunately

chucky

chrisweb wrote: »

Check the sources in the last post

but from reading your post Germany will have a need for a bigger bank bail out - while the UK has had an average one.

who is in the better position?

chrisweb wrote: »

You can't rely on just one part of the equation to work out the resulting math.

For one thing the surplus means Germany can afford a bigger bailout, while the UK can't. Secondly the Euro gives Germany a bigger monetary base to play with than sterling.

Germany went into the recession a much stronger economy than the UK and I personally think they'll come out ahead of the UK too.

we were talking about the effect of the bank bail outs on the economy...
so that's where the point of the bank bailouts was being discussed.

as for germany going in much stronger and coming out better - that all depends on how the Euro comes out of it all. and i don't think Euro land will be pretty after this all finishes...

Rochdale_Pioneers

OK so Germany had a bigger budget surplus. It also had 50% higher government debt than we did, and whatever surplus it had will have vanised.

So, its government is in more debt than ours, its economy is contracting faster than ours, and its exchange rates, interest rates and therefore inflation are tied to the Euro unlike ours. In what way does this make Germany better placed than the UK? You need to stop throwing out information like "German budget surplus" like thats the end of the story - its only part of it.

StevieJ

chrisweb wrote: »

Can everyone on both sides stop arguing like kids. I'm sure you have better things to do with your life than argue with people you don't know, will probably never meet, and who will never agree with you. It makes using this forum a misery.

Why not just share and contrast information and insight politely.

Sources for Germany 60:1 bank leveraging for those who aren't here to insult each other:
- http://fora.tv/2008/10/21/Geopolitical_Consequences_of_the_Credit_Crunch#Niall_Ferguson_The_Benefit_of_the_Credit_Crisis
- http://shop.ceps.eu/downfree.php?item_id=1712

Is this the same guy, sounds like he would get on well with Dervish if it is :eek:


For over a decade now, Ferguson has built a role as a court historian for the imperial American hard right... His calculations consistently underestimate or ignore the massive crimes of Empire, and grossly overstate the benefits.[17]

StevieJ

chrisweb wrote: »

Check the sources in the last post

You can't rely on just one part of the equation to work out full results. There are multiple indicators of an economies strength.

For one thing the surplus means Germany can afford a bigger bailout, while the UK can't. Just look at UKs position compared to Germany's position on this list:
http://en.wikipedia.org/wiki/List_of_countries_by_current_account_balance

Secondly some say the Euro gives Germany a bigger monetary base to play with than sterling.

Germany went into the recession a much stronger economy than the UK and I personally think they'll come out ahead of the UK too. That's not to say they don't have their own tough issues too.

Anyway got work to do - so I'll leave the rest of you to argue - have fun!

So you are saying that one of the measures of the strength of an economy is how much money they throw in to bail out the banks

For one thing the surplus means Germany can afford a bigger bailout, while the UK can't.

chrisweb

Rochdale_Pioneers wrote: »

OK so Germany had a bigger budget surplus. It also had 50% higher government debt than we did, and whatever surplus it had will have vanised.

So, its government is in more debt than ours, its economy is contracting faster than ours, and its exchange rates, interest rates and therefore inflation are tied to the Euro unlike ours. In what way does this make Germany better placed than the UK?

Coming out of the recession it will likely still have trade surplus, while UK will still likely have a trade deficit.

My theory is it is easier to pay off a debt when you are earning money, than when you are borrowing more money. My understanding is that a country being financed by debt is not sustainable in the long term, and a country financed by income will get richer in the long run.

Of course many things could change over the next few years so I wouldn't be placing any bets either way of who would come out on top. Plus there's just way way too many ways to measure a countries economy, and even the expert still argue over that.

Just out of interest, which country in the world (if any) do you think is better placed than the UK?

You need to stop throwing out information like "German budget surplus" like thats the end of the story - its only part of it.

Chill out :rolleyes:
I was actually adding to the points already made by chucky, just like you added to mine. I stated my belief Germany would come out on top was personal opinion, not the end of the story.

I am interested in what you have to say when you present some facts, I like to get all the info together and hear different insights. No need to get angry