$60 Trillion Loss (Great Depression 2009)

[mach700]

By some estimates, combined losses in commodities, stocks, bonds, real estate are greater than $60 trillion. This is beyond rescue. The chart below, borrowed from Dr. Marc Faber's Market Commentary December 1, 2008, is devastating. The chart shows a stunning loss of $30 trillion stock market wealth around the world.

http://www.marketoracle.co.uk/Article7923.html

[smithtg]

By some estimates, combined losses in commodities, stocks, bonds, real estate are greater than $60 trillion. This is beyond rescue. The chart below, borrowed from Dr. Marc Faber's Market Commentary December 1, 2008, is devastating. The chart shows a stunning loss of $30 trillion stock market wealth around the world.

http://www.marketoracle.co.uk/Article7923.html


it was all phony wealth to begin with, so is it really a "loss"?

lets deleverage and get back to hard assest prices instead of bank sponsored phonyism

[mach700]

But ultimately $60 Trillion loss will affect the sales of all industries worldwide because now world economy is poorer by $60 Trillion.

Example-: A person has 500 shares of $100 each. He has plans of purchasing a car worth $50,000 by selling the shares. But the share

price crash to $70, so now he has $35,000 only. He will abondon his car purchase plans. Ultimately car sales fall and this will further

crash the stock markets. It will be a "Domino affect".

[JohnMeridith]

But ultimately $60 Trillion loss will affect the sales of all industries worldwide because now world economy is poorer by $60 Trillion.

Example-: A person has 500 shares of $100 each. He has plans of purchasing a car worth $50,000 by selling the shares. But the share

price crash to $70, so now he has $35,000 only. He will abondon his car purchase plans. Ultimately car sales fall and this will further

crash the stock markets. It will be a "Domino affect".
then the price of the cars come down dadadadada

[Johnnybags]

instead of letting new money take over failed indebted business we loan more to the failed companies? Problem is the US is trying desperately to keep every Tom,Dick, and Harry out of bankruptcy court where the new monies can buy assets at the market which is far cheaper. It will not work. Assets are worth what bidders will pay, not what the government or "book value" based on skewed leverage says it should be worth. The market says we are in a massive deflation, the government says no way but the market ultimately is always correct. As a side note I noticed all the "toys" acquired like classic cars,boats, rv's etc are collapsing in price and the main reasons are twofold, jobs and the big reason is financing. The banks want like 50 to 60 percent down to finance these items which has the effect of killing the market. If they did this for college tuition,healthcare etc. the price would fall just as dramatically. Easy financing was the grease that made these markets soar as well and its no longer available unless you put up the risk deposit.

[mach700]

Wal-Mart is worth $250 Billion and $60 Trillion = $60,000 Billions.

Now 60,000/250 = 240. So $60 Trillion = 240 Wal-Mart companies.

This means loss of $60 Trillion has shut down 240 Wal-Mart companies in the world.

Wal-Mart has 2,055,000 employees.

Now 2,055,000 x 240 = 493200000

This means 493 million jobs have been lost worldwide because of $60 Trillion loss from commodities, stocks, bonds, real estate. This is DEFINATELY beyond rescue.

[mavtek]

So true Johnnybags, the price of yachts has literally crashed. Boats I would have once only dreamed about owning now are seemingly within reach. Sea Ray Sundancers which sell for between $500k and $1.5 mill new are now sitting at $200k barely used, if they are a decade old they are easily bought for around $100k.

[Johnnybags]

So true Johnnybags, the price of yachts has literally crashed. Boats I would have once only dreamed about owning now are seemingly within reach. Sea Ray Sundancers which sell for between $500k and $1.5 mill new are now sitting at $200k barely used, if they are a decade old they are easily bought for around $100k.

Check out this one:
http://cgi.ebay.com/ebaymotors/1987-Donzi-D-29_W0QQcmdZViewItemQQ_trkparmsZ72Q3a1205Q7c66Q3a2Q 7c65Q3a12Q7c39Q3a1Q7c240Q3a1318Q7c301Q3a1Q7c293Q3a 1Q7c294Q3a50QQ_trksidZp3286Q2ec0Q2em14QQhashZitem1 50319967670QQitemZ150319967670QQptZPowerQ5fMotorbo ats

I am sure 2 years ago would have fetched about 30k. I am curious to see what it goes for, guess about 13 to 16k or maybe less.

[slacker921]

Check out this one:
http://cgi.ebay.com/ebaymotors/1987-Donzi-D-29_W0QQcmdZViewItemQQ_trkparmsZ72Q3a1205Q7c66Q3a2Q 7c65Q3a12Q7c39Q3a1Q7c240Q3a1318Q7c301Q3a1Q7c293Q3a 1Q7c294Q3a50QQ_trksidZp3286Q2ec0Q2em14QQhashZitem1 50319967670QQitemZ150319967670QQptZPowerQ5fMotorbo ats

I am sure 2 years ago would have fetched about 30k. I am curious to see what it goes for, guess about 13 to 16k or maybe less.

the bankers around Charlotte are clearing out their garages.. they know what's coming.

[JohnMeridith]

Wal-Mart is worth $250 Billion and $60 Trillion = $60,000 Billions.

Now 60,000/250 = 240. So $60 Trillion = 240 Wal-Mart companies.

This means loss of $60 Trillion has shut down 240 Wal-Mart companies in the world.

Wal-Mart has 2,055,000 employees.

Now 2,055,000 x 240 = 493200000

This means 493 million jobs have been lost worldwide because of $60 Trillion loss from commodities, stocks, bonds, real estate. This is DEFINATELY beyond rescue.
did you get a calculator for christmas and a big box of no common sense?

[Agent CSL]

This is a good thing.

[damania]

It's like those piracy loss statements by the record and software industries. Those copies weren't going to be bought anyways so there was no sale. It also matter who has the money in their hand and what they are going to do with it. Profits in the stock market have almost no correlation with profits/employment on main street. The stock market is down 50%, hence unemployment is 50%? What's the correlation? Ok, there's a correlation between yatch valuation and the stock market.

[Malakai]

While the walmart analogy is not exactly right, it does a good job of showing that we cannot even comprehend $60,000,000,000,000.
Ive earned maybe 40,000 in my 7-8yrs of working (part time + school mostly)

[Elwar]

*sings* If I had $60 trillion dollars...

If I had $60 trillion dollars...

I'd buy me a planet...not a real planet that's cruel

[mach700]

did you get a calculator for christmas and a big box of no common sense?
I think you got a big box of no common sense for Christmas. If you are intelligent you must have understood the meaning of 240 Wal-marts shutting down and 493 million jobs lost.

There is only 1 Wal-mart in this world and I think only 1000 million people worldwide have jobs.

[mach700]

According to Dr. Marc Faber, S&P 500 will reach 100-levels. So DOW Jones will also reach 2000-levels. This will wipe out further $60 Trillion.

That would be $120 Trillion loss for the world economy because Real estate and Commodities will crash Rock Bottom.

[paulitics]

According to Dr. Marc Faber, S&P 500 will reach 100-levels. So DOW Jones will also reach 2000-levels. This will wipe out further $60 Trillion.

That would be $120 Trillion loss for the world economy because Real estate and Commodities will crash Rock Bottom.

The real estate and commodities market was a bubble. It created inflation to where people could not afford a house or put gas in their car to go to work.
There was no true wealth there, OK? Do you think the dot.com bubble was real wealth too?

The problem with the economy is inefficiency. The market needs to further correct itself to equilibrium. The sooner we get there, the better. Propping up prices will only prolong the inefficiencies, and thus agony.

[mach700]

For past 80 years world economy has grown & crashed & grown bigger again. So people always think world economy will recover again.

Some damages are beyond repair. Example-: I used to trim a tree in my garden every year for 8 years. After each trim the tree would grow bigger & better. But the 9th year, I over-trimmed the tree and it never grew again. It Died.

$60 Trillion loss = Over-Trimming of world economy.

[AutoDas]

What little is left of the free market is trying to correct and restore balance to the economy but the fucking politicians won't let it be.

[mach700]

According to Dr. Marc Faber, S&P 500 will reach 100-levels. So DOW Jones will also reach 2000-levels. This will wipe out further $60 Trillion.

That would be $120 Trillion loss for the world economy because Real estate and Commodities will crash Rock Bottom.


$1000 Homes


NEW YORK (CNNMoney.com) -- The real estate market is so awful that buyers are now scooping up homes for as little as $1,000.

There are 18 listings in Flint, Mich., for under $3,000, according to Realtor.com. There are 22 in Indianapolis, 46 in Cleveland and a whopping 709 in Detroit. All of these communities have been hit hard by foreclosures, and most of these homes are being sold by the lenders that repossessed them.

http://money.cnn.com/2009/01/08/real_estate/thousand_dollar_homes/index.htm?postversion=2009010812

[mach700]

instead of letting new money take over failed indebted business we loan more to the failed companies? Problem is the US is trying desperately to keep every Tom,Dick, and Harry out of bankruptcy court where the new monies can buy assets at the market which is far cheaper. It will not work. Assets are worth what bidders will pay, not what the government or "book value" based on skewed leverage says it should be worth. The market says we are in a massive deflation, the government says no way but the market ultimately is always correct. As a side note I noticed all the "toys" acquired like classic cars,boats, rv's etc are collapsing in price and the main reasons are twofold, jobs and the big reason is financing. The banks want like 50 to 60 percent down to finance these items which has the effect of killing the market. If they did this for college tuition,healthcare etc. the price would fall just as dramatically. Easy financing was the grease that made these markets soar as well and its no longer available unless you put up the risk deposit.

There is a rule from "Mother Nature" that if a living creature makes a mistake, it has to die. Nature does not give second chance. For example-: In forest, if a Deer/Stag is sleeping carelessly, a Lion/Tiger or Grizzly Bear will kill and eat the Deer.

But Human beings keep making mistakes after mistakes and further mistakes. They continue to survive after making mistakes.

What I mean is that Fannie & freddie, AIG, Bear stearns, Citigroup, Big 3 carmakers & other giant companies and banks have made "Big mistakes" because they are "worthless & without business brains", They should not survive. They have to shut down, if not today then tomorrow.

How long do you think "$2.5 trillion bail-out" will save Gaint companies and Banks. They have to shut down one day.

"Mother Earth" does not have the resources to support 7 billion people. So the "global financial crisis" was inevitable (had to happen).

"Global financial crisis" will happen again in future and it will continue to happen. Human beings and even $100 Trillion cannot STOP "Global financial crisis".

Humans have a habit of digging their own grave with their own hands

[Epic]

This 60 trillion dollars or however much was not destroyed.....

it was merely transferred.

This was one of the key points in one of our favorite documentaries:
The Money Masters: http://video.google.com/videoplay?docid=-515319560256183936



Of course, Ron Paul fans already know this by symmetry - we know that you cannot create wealth (in a macro sense) by printing money. Thus, you cannot destroy wealth (in a macro sense) by losing money.

[mach700]

This 60 trillion dollars or however much was not destroyed.....

it was merely transferred.

No bank in the world has $60 Trillion. Where did this $60 Trillion vanish/got transfered?

The $60 Trillion DID NOT get invested in Stocks, Real estate, Gold, Commodities. Where did this $60 Trillion vanish/disappear?

[mach700]

I think, according to Dr. Marc Faber "actual loss" is $60 Trillion.

So the eroded wealth = actual loss + unknown amount. Maybe that is more than $100 Trillion.

[buck000]

No bank in the world has $60 Trillion. Where did this $60 Trillion vanish/got transfered?

The $60 Trillion DID NOT get invested in Stocks, Real estate, Gold, Commodities. Where did this $60 Trillion vanish/disappear?

If I told you I was thinking of buying your house for a billion dollars, but then changed my mind, would you have lost a billion dollars? :confused:

[mach700]

If I told you I was thinking of buying your house for a billion dollars, but then changed my mind, would you have lost a billion dollars? :confused:
Example-: A company share is worth $100. If a big investor invests $500 million the share price will rise to $125.

This means the world stock markets increased by $30 Trillion only when $30 Trillion "actual money" was invested into world stock markets.

Now $30 Trillion have been wiped out (loss) from world stock markets. This means there is "actual loss" of $30 Trillion.

Similarly there is "actual loss" of $60 Trillion.

[jonahtrainer]

By some estimates, combined losses in commodities, stocks, bonds, real estate are greater than $60 trillion. This is beyond rescue. The chart below, borrowed from Dr. Marc Faber's Market Commentary December 1, 2008, is devastating. The chart shows a stunning loss of $30 trillion stock market wealth around the world.

http://www.marketoracle.co.uk/Article7923.html

The deflationary credit contraction (http://www.runtogold.com/2008/02/first-snowfall-of-kondratieff-winter/) begins. Too bad there is $1,400 Trillion of wealth left to evaporate and will probably only be about $200T at current values left when all is said and done.

http://www.runtogold.com/images/KondratieffWinter.jpg

[Stary Hickory]

You people are crazy the US government has unlimited amounts of money, it can always make more.

[mach700]

Too bad there is $1,400 Trillion of wealth left to evaporate and will probably only be about $200T at current values left when all is said and done.

That would be a "MASSIVE LOSS" of $1200 Trillion.