Credit Crunch Return ???

Occams_Razor_2

Butterfly_Brain wrote: »

I think that the whole world economy is set to collapse and we will go into a depression far worse than the last one, so I have started stocking up on canned foods and non perishables - then at least we will have a fighting chance when it hits.
I think a lot of the problems with the western economy is that we have been flooded by cheap goods from abroad for far too long and have lost our own manufacturing base

This is either comedy or you are well named.

Rainy-Days

lilbert wrote: »

Dont think we ever got out of the first recession! :eek: But i think its going to get a lot worse!

I was driving home at lunchtime from work and they said that the markets are in free fall at the moment. I just think that we got through 2008/09 with cutting corners and we will somehow have to do it again. I just think that those of us who can and are able to make compromises and sacrifices will be resilient to some degree in getting out the other side. It's those who are oblivious to cutting budgets and being able to live around it that will suffer the most. It's going to be another tough hard 12 months if the last lot is anything to go by. We were able to just carry it through without resorting to the credit card.

scottishminnie

I'm afraid it's not a return of the credit crunch as it certainly never went away in the first place. I work for one of the big banks (ducks back below the parapet as you all take aim:o) and despite what the public are being told it's not good. Mortgage lending and business lending are down. The banks are claiming people aren't applying for loans, especially business however that's not the case. It's just that it's being made as difficult as possible for customers to get anything at all.

I have lots of family (including OH) and friends with small businesses and I don't know how much longer most of them can survive.

thanks to sites like this many people have become OS and have learned some of the skills which seemed to have been missing for a while. I was fortunate in having an upbringing which meant I could be OS when I wanted so I don't find it too difficult to get that mindset. Unfortunately though I feel there are still some people who haven't made many adjustments yet and still having their heads in the sand. The sand is going to suffocate them soon though.

Not sure what more I can do to influence it though, other than being sensible, so I'm trying hard not to worry about it.

Rainy-Days

I don't think people at local bank level see those bank workers as the big bad baddies Scottishminnie, it's the people at the top of the chain in the City fo London's financial markets who they are taking aim at becaus eit is their recklessness and directions that have filtered down.

I had the impression for the last 18 months or so that we are in stagflation, rising inflation (such as food and raw materials) and a stagnant economy. The problem with stagflation is that it is rampant and hard to get under control. This recession, if we are sliding back into one, (not that I thought we ever really got out of it) is going to be damn tough. The air that we breathe is free for now, but we are taxed to the hilt on just abot everything else and man cannot live by fresh air alone.

We are going to have to get really old stylie and just batten down the hatches and try and bunker this one through - hopefully keeping our jobs at the end of it all! If we can all just keep on making do and mend and squirrel away money (even if it is a couple of pounds) then that is better than doing the opposite!

Hang on in there folks it is going to be a rocky ride ahead!

foxgloves

The problem is that the capitalist system has all but collapsed in the west. Only the most radical economic thinkers will admit this. It's too scary for governments because I don't think they have the first clue what to do as an alternative. Everyone seems to be trying to rebuild the old financial system.....yet that's what got so many countries into trouble in the first place. It's depressing, but I think we will just limp on without any economic upturn for years. If I'm wrong, then someone can come on here & say 'Good job we didn't listen to that miserable old Foxgloves....', but I just can't see how it can possibly improve because the money just isn't there. I feel it only existed on paper really.

dandy-candy

I certainly agree that things will get worse in the next year. With all the gas/elec price increases it will just take a hard winter to push peoples budgets over the limit, and who will be spending freely at Xmas this year? I would expect more shops to go bust in the new year

I think America's sticking plaster will fall off in the next year too and that will drag all the markets down again - batten down the hatches!!

[Deleted User]

I live in the supposed 'prosperous south east' and there are 18 applicants at least for every available job.I am retired so hopefully can't get the sack and luckily I have no mortgage to worry about but I have two children who do have, and although both of them are working and their husbands as well nothing is set in stone and any of them could get the push at anytime.Stocking up on basics if possible and while you can afford it is a good idea as I have no doubt that come the winter what we think of as high prices now will seem relatively cheap by comparison.
I have lived with rationing and the austerity of the 1950s, then the boom of the 1960s and the down turn of the 1970s when the country was on a three day week, and also the inflated interest rates of 15% for mortgages and by golly I am glad I'm in a better position now than I was then.But escalating fuel costs in the winter are a bit of a worry for a lot of older people I am currently overpaying on my gas and electric in case we have another bad winter like last year.still hopefully with careful budgetting I shall get though.But any savings I have, have been eroded by hardly any interest being paid, and I sometimes wonder whether its worth saving at all or should I just store my spare cash in dried and tinned goods :)

COOLTRIKERCHICK

I must admit it never felt that we came out of the recession...and it looks as though loads of people felt the same way, as they have been sensible with their spending, and people have been consentrating on paying off debt etc ( or not spending anymore on credit cards)

I hope i am wrong, but i think the last credit crunch/recession was just a little taster of the 'big one' that is to come...as been mentioned i dont htink this government can handle it... the last government got us deeper in debt by trying to spend our way out of it...

It also doesnt help with this all over the news.. as now, what little spending people were doing, will now stop, which will have a serious effect on the economy which is allready struggling...

I think Jackie0 has a very sensible idea, about if you can afford to buy extra tinned food, and dry goods etc... then quietly do it and squirrel it away... for the potential sotrm ahead...:o

Rummer

This whole situation worries me and I hope it doesn't get any worse.

ceridwen

...and another vote for "We never darn well came out of it the last time".

Its all been "smoke and mirrors" for the last few years and the writing has been "on the wall".

I think many of us can see "which way the wind blows" on this one ....

It is galling - because, on the one hand, we have seen people spending (on credit) like there is no tomorrow at all levels. On the other hand - an article in todays papers was on about cutting the maximum tax rate from 50% to 45% on the other hand....:cool::mad::( - when people in my generation remember when it was set at 98% - but we are seeing the rich whingeing/making excuses about just why it needs to be cut - in the current climate:eek::mad::eek:. Why ...why...why...are some people so selfish and/or blind?:(:mad::(