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Sri Lumpa on 17 October 2008
Ail said:
FishyJoe said:
If you want to believe the world economy is fine and bury your heads in the sand, that's fine with me. I'm not saying it's the end of the world by any means. I'd like nothing more than everything to be fine and video games to sell like crazy, in fact I'd make a lot of money if that happened. But I'm trying to be realistic about expectations and some people see that as doom and gloom.

 

It's not the end of the world either.

Modern societies aren't in the state as they were in 1929 so people need to stop bringing back the specter of people living in the streets and starving...

Some modern countries actually do have unemployment benefits now...

If the governments spend all the money they have (or don't as is the case) to bail out banks* they won't have any left for any meaningful unemployment benefit. sure they could always print some but if they do it for too long then you risk hyperinflation... Ever heard of the Weimar republic? I wonder what happened to them after that hyperinflationary bit back in the 1930's.

Of course, like you said, it is not the end of the world so we might be lucky and things might not get that bad but I am not too hopeful yet.

*I should be a banker, you make money when the economy is good and you get bailed out when it is bad (unless you're Lehman bros of course ).



"I do not suffer from insanity, I enjoy every minute of it"