Comments on: How the financial crisis affects you and me http://elekhni.com/2008/09/how-the-financial-crisis-affects-you-and-me/ Mon, 06 Feb 2012 15:17:54 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Sane Voices on Financial Crisis | Financing Tips http://elekhni.com/2008/09/how-the-financial-crisis-affects-you-and-me/comment-page-1/#comment-1945 Sane Voices on Financial Crisis | Financing Tips Wed, 17 Dec 2008 16:51:52 +0000 http://elekhni.com/?p=665#comment-1945 [...] How the financial crisis affect you and me: Lekhni wears many hats. Here she says, “It’s not about the investment bankers, it’s about you. Their loss, directly or indirectly, affects you. [...] [...] How the financial crisis affect you and me: Lekhni wears many hats. Here she says, “It’s not about the investment bankers, it’s about you. Their loss, directly or indirectly, affects you. [...]

]]> By: Dinesh http://elekhni.com/2008/09/how-the-financial-crisis-affects-you-and-me/comment-page-1/#comment-1944 Dinesh Tue, 23 Sep 2008 15:55:56 +0000 http://elekhni.com/?p=665#comment-1944 That's true, most people do not understand the situation. They think the 700 billion dollar bailout is wasting tax payer's money. I dont know what will happen if the bailout doesnt take place. Right now it seems to be the only choice. As I said in my previous comment, the common people who were carried away are the ones who are affected. They spent and borrowed so much beyond what they can afford, the system has collapsed. Also, that means that the govt. and the organization allowed such borrowing which means the blame and impact of it falls on everyone of us. It is a ripple effect and it is going to affect everyone in someway. But does this mean we have to stay at home and cry over spilt milk? Should we stop going to ballgames and malls because of this? The answer is in solving the crisis not crying over what happened. If we make it a point to save atleast 30% of our income every month, no matter what, then it should be a good start, may not be the ultimate solution but a stepping stone. Unfortunately none of the media outlets are talking about solutions, they are only going gaa gaa about the problems and stating the facts over and over again! That’s true, most people do not understand the situation. They think the 700 billion dollar bailout is wasting tax payer’s money. I dont know what will happen if the bailout doesnt take place. Right now it seems to be the only choice. As I said in my previous comment, the common people who were carried away are the ones who are affected. They spent and borrowed so much beyond what they can afford, the system has collapsed. Also, that means that the govt. and the organization allowed such borrowing which means the blame and impact of it falls on everyone of us. It is a ripple effect and it is going to affect everyone in someway.
But does this mean we have to stay at home and cry over spilt milk? Should we stop going to ballgames and malls because of this? The answer is in solving the crisis not crying over what happened. If we make it a point to save atleast 30% of our income every month, no matter what, then it should be a good start, may not be the ultimate solution but a stepping stone. Unfortunately none of the media outlets are talking about solutions, they are only going gaa gaa about the problems and stating the facts over and over again!

]]> By: Sane Voices on Financial Crisis - Personal Finance 2.01 http://elekhni.com/2008/09/how-the-financial-crisis-affects-you-and-me/comment-page-1/#comment-1943 Sane Voices on Financial Crisis - Personal Finance 2.01 Mon, 22 Sep 2008 16:22:59 +0000 http://elekhni.com/?p=665#comment-1943 [...] How the financial crisis affect you and me:?Lekhni wears many hats. Here she says, “It’s not about the investment bankers, it’s about you. Their loss, directly or indirectly, affects you. [...] [...] How the financial crisis affect you and me:?Lekhni wears many hats. Here she says, “It’s not about the investment bankers, it’s about you. Their loss, directly or indirectly, affects you. [...]

]]> By: roop rai http://elekhni.com/2008/09/how-the-financial-crisis-affects-you-and-me/comment-page-1/#comment-1942 roop rai Mon, 22 Sep 2008 15:50:47 +0000 http://elekhni.com/?p=665#comment-1942 of course, it affects everyone ... especially in today's global economy. of course, it affects everyone … especially in today’s global economy.

]]> By: ??! http://elekhni.com/2008/09/how-the-financial-crisis-affects-you-and-me/comment-page-1/#comment-1941 ??! Mon, 22 Sep 2008 09:37:22 +0000 http://elekhni.com/?p=665#comment-1941 Lekhni/MJ: The comments in the previous post were not about "not understanding the implications". They were strictly about whether we should sympathise with the people at LB and MS who had lost their jobs. You said that people shouldn't gloat about it, because it affects them. And that's what several of us reacted to. The key word, and sticking point, is 'sympathy'. As TR puts it, there's no 'sympathy' here - there's anger. Let me add a few to that - Chagrin. Disbelief. Outrage. At the bankers, the institutions for which they worked, and the whole system. None of those comments denied the ramifications of the collapse - or wished that it would happen. We don't! But it's difficult to sympathise. And nothing in the MJ piece addresses that. Lekhni/MJ:
The comments in the previous post were not about “not understanding the implications”. They were strictly about whether we should sympathise with the people at LB and MS who had lost their jobs. You said that people shouldn’t gloat about it, because it affects them. And that’s what several of us reacted to.

The key word, and sticking point, is ‘sympathy’.

As TR puts it, there’s no ‘sympathy’ here – there’s anger. Let me add a few to that – Chagrin. Disbelief. Outrage. At the bankers, the institutions for which they worked, and the whole system.

None of those comments denied the ramifications of the collapse – or wished that it would happen. We don’t! But it’s difficult to sympathise.

And nothing in the MJ piece addresses that.

]]> By: Amit http://elekhni.com/2008/09/how-the-financial-crisis-affects-you-and-me/comment-page-1/#comment-1940 Amit Sun, 21 Sep 2008 17:59:08 +0000 http://elekhni.com/?p=665#comment-1940 Here's Bill Fleckenstein's take: http://articles.moneycentral.msn.com/Investing/ContrarianChronicles/NowGreenspanDoesntLikeBailouts.aspx Here’s Bill Fleckenstein’s take: http://articles.moneycentral.msn.com/Investing/ContrarianChronicles/NowGreenspanDoesntLikeBailouts.aspx

]]> By: Adithya http://elekhni.com/2008/09/how-the-financial-crisis-affects-you-and-me/comment-page-1/#comment-1939 Adithya Sun, 21 Sep 2008 14:48:20 +0000 http://elekhni.com/?p=665#comment-1939 Well, it is all over my head, but what I ask, is a simple question. As a student, soon to be graduating, in America, ok, I must be worried. But I see no point in doing that. Really, what is in my hands? What can I do, to mitigate anything here? When nothing is in my hands, why should I be worried? And because I don't understand the technicalities of it (am a Computer Science graduate), I don't get the sympathy wave, either. I don't choose to be ignorant. I am just not sure. Well, it is all over my head, but what I ask, is a simple question. As a student, soon to be graduating, in America, ok, I must be worried. But I see no point in doing that. Really, what is in my hands? What can I do, to mitigate anything here? When nothing is in my hands, why should I be worried?

And because I don’t understand the technicalities of it (am a Computer Science graduate), I don’t get the sympathy wave, either. I don’t choose to be ignorant. I am just not sure.

]]> By: Kiran http://elekhni.com/2008/09/how-the-financial-crisis-affects-you-and-me/comment-page-1/#comment-1938 Kiran Sun, 21 Sep 2008 02:26:02 +0000 http://elekhni.com/?p=665#comment-1938 Have you ever heard of the words - Moral Hazard - Social Stigma ??? If you have, then awesome! Let's see - taken your logic to the extreme, every bad news in the world affects me. You know, there have been 100 accidents today in the US - and hence maybe, I should stop going on the road - or something to that effect. When these financial service companies (service? or disservice?) were raking in huge profits, I could not do a damn thing to stop them or earn any shared prosperity. On the other hand, when these financial service companies are in turmoil, I can't do a damn thing other than to pay up extra taxes down the road due to the bailouts. When the shit hit the fan, all the walls in my house got colored. We all understand that we are getting/going to get screwed going forward, simply due to the inevitable raise in taxes if not anything else. However, unless we attach a goddamn social stigma to such an action, unless we call out moral hazards with respect to such actions, unless there is widespread anger, frustration and schadenfreude at such a situation, we won't be correcting ourselves in the future - rather, the financial service companies would be encouraged to continue on similar lines - and that my dear friend is the whole issue. Privatizing wealth and socializing debt...this is precisely what the past few months have indicated to the normal public. Left to me - sympathy, emotions and taxes - ah, well, I might as well have none of it due to this turmoil. Have you ever heard of the words
- Moral Hazard
- Social Stigma
???

If you have, then awesome! Let’s see – taken your logic to the extreme, every bad news in the world affects me. You know, there have been 100 accidents today in the US – and hence maybe, I should stop going on the road – or something to that effect.

When these financial service companies (service? or disservice?) were raking in huge profits, I could not do a damn thing to stop them or earn any shared prosperity. On the other hand, when these financial service companies are in turmoil, I can’t do a damn thing other than to pay up extra taxes down the road due to the bailouts. When the shit hit the fan, all the walls in my house got colored.

We all understand that we are getting/going to get screwed going forward, simply due to the inevitable raise in taxes if not anything else. However, unless we attach a goddamn social stigma to such an action, unless we call out moral hazards with respect to such actions, unless there is widespread anger, frustration and schadenfreude at such a situation, we won’t be correcting ourselves in the future – rather, the financial service companies would be encouraged to continue on similar lines – and that my dear friend is the whole issue.

Privatizing wealth and socializing debt…this is precisely what the past few months have indicated to the normal public. Left to me – sympathy, emotions and taxes – ah, well, I might as well have none of it due to this turmoil.

]]> By: La Vida Loca http://elekhni.com/2008/09/how-the-financial-crisis-affects-you-and-me/comment-page-1/#comment-1937 La Vida Loca Sat, 20 Sep 2008 21:48:11 +0000 http://elekhni.com/?p=665#comment-1937 MJ thanks for the informative piece :) MJ thanks for the informative piece :)

]]>