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G20 policymakers candid about world economic risks
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1 of 4. U.S. Treasury Secretary Timothy Geithner (C) smiles between U.S. Federal Reserve Governor Kevin Warsh (L) and European Central Bank President Jean-Claude Trichet (R) during a group photograph at the G20 Finance Ministers and Central Bank Governors meeting in Busan June 4, 2010.
Credit: Reuters/Nicky Loh
BUSAN, South Korea |
BUSAN, South Korea (Reuters) - Leading policymakers spoke with unusual frankness on Friday of their fears that the euro zone's financial and banking woes could derail the global economic recovery.
The troubles of Greece and other heavily indebted European governments dominated conversations among finance ministers of the Group of 20 leading economies meeting in the southern port city of Busan, officials said.
"It is essential to ensure continued recovery that Europe fix its banks. It is essential that certain vulnerable European nations follow through with major fiscal consolidation, and get the job done," Canadian Finance Minister Jim Flaherty told reporters.
Gatherings such as the G20 are typically a stage for ministers to radiate confidence, especially when financial markets are in a nervous state, as they are now.
But Flaherty was not alone in his warnings.
"We can't afford to be complacent," South Korean Finance Minister Yoon Jeung-hyun told the opening session.
"Without further and ongoing action from us, the recovery may not remain on track and we may not be able to achieve strong, sustainable and balanced growth," he said.
South African Planning Minister Trevor Manuel said he could not think of a more challenging time than the present for the Group of 20, which includes major emerging economies as well as the richest industrial nations. Decisions needed taking, he said, to banish the specter of a double-dip recession.
"It's important that we all understand just how fragile the recovery is," Manuel, himself a former finance minister, said.
As ministers got down to work, police boats patrolled near the beach hotel where they are meeting. Authorities have steeped up security in response to war-like rhetoric on the divided peninsula after the South accused North Korea of sinking one of its warships.
BALANCING ACT
French Finance Minister Christine Lagarde said the trick for the G20 was to staunch red ink in their public finances without squeezing the life out of the nascent recovery.
"We spoke a lot about growth and the compatibility of this growth with necessary budgetary consolidation, especially in developed countries and not only in Europe," she told reporters.
Washington is pressing Germany, whose deficit is relatively modest by EU standards, not to undermine aggregate demand in the euro zone by ending its pro-growth policies prematurely.
But a senior German official said Finance Minister Wolfgang Schaeuble would announce that Berlin, under pressure from fiscally conservative voters to cut its deficit, would start unwinding its anti-crisis stimulus outlays from 2011.
The debate over how quickly to rein in deficit spending has gained urgency since the 16-nation euro zone agreed to a 110 billion euro rescue for Greece after Athens lost the confidence of bond markets and was unable to roll over its vast debts.
The euro zone, working with the International Monetary Fund, is also putting together a 750 billion euro ($910 billion) safety net for other member countries with big debts in case they too fail to find buyers for their bonds. A forced debt restructuring would inflict heavy losses on euro zone banks.
Investors first responded enthusiastically to the May rescue package, but the euro has since slumped to a four-year low against the dollar on doubts about the capacity of euro zone states to plug holes in their budgets.
World stock markets have shuddered at the prospect that Europe's difficulties could derail a recovery from the deepest financial crisis since the 1930s.
But U.S. Treasury Secretary Timothy Geithner sounded a more optimistic note.
"The world economy came into this period of concern about Europe with stronger underlying momentum and growth than many people expected, and we're in a much stronger position to get through this," Geithner told CNBC television en route to Busan.
BANKING STALEMATE
On the other main item on the Busan agenda, how to reform global banks to reduce the risk of another crisis, Canada's Flaherty said tough new global capital rules would be phased in over a longer time than originally planned.
In a sign that intense lobbying by banks for more time is paying off, Flaherty said: "Implementation is a variable. Some would like a shorter period, some would like a longer period. I think that can be worked out over time."
A related proposal for a global levy on banks to pay for any future bailout was foundering on fierce opposition from Canada, among others.
Instead, ministers will work on a menu of options for their political leaders to endorse at a summit in Toronto at the end of the month. If all goes according to plan, they would then make more specific commitments at another summit in Seoul in November.
"Different countries' banking sectors are in different situations. So there won't be a one-size-fits-all policy," said Sakong Il, a senior South Korean official.
(Additional reporting by James Pomfret, David Milliken, Louise Egan and Yoo Choonsik; Writing by Alan Wheatley; Editing by Tomasz Janowski and Jonathan Thatcher)
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Take a Number folks, Because You may be all adjusting for the next Experience Testing the very nature of mans ability to have economic empathy and compassions to be hand with that of the ability to also live has neighbor in a social order as to be in union with a Creator, God.
God, who also is known by many other names, but the one he called out was, “I AM”, has been made absent from the equation for some time now as seen from this economics student working the formulas.
These are becoming in the 2010 to 2013(s, the challenges for all nations of the globe.
Plenty of books have been written from the angle on Si-Fi.
I chose my pen of Far-fetched Themes based upon wanting to keep them to be fiction.
Unfortunately, the use of the theme and the resurrection and combining of four theorems simply stated as the COASE Oppression Theorem, the professors rewarded me with finding the key for uncovering and showing truth for ones to think and bring thought to academia and all to ponder.
The theorems have economics with North Korea and South Korea near setting off what is seen could be global in nature as WW III in a regime, or be it off in Iran, or involving Israel or some other country or dictator’s or administrations using the systems of COASE Oppression economics as their forms of theorem.
A theorem that seems to be revealing the depths of all the weak points of true unrest breaking along the fault lines of a societies mapped globally that are connected for their very survival now on one another.
Regions fragile natures as the G20 fears should be marked and underlined. I further note the measures of austerity for all nations are on the table now for the G-20 as well as what are we will call the G-2.
Let us hope and pray, if you are one that believes in the Creator, “God” that the Asia along with other hot spots of unrest will settle in and continue to slow down and measure in to GDP growth and consumption with acceptable global social debt repayment austerity confinement restraints.
This though will not end the point of problems of what has been lit of back between 1958 – 1971 when President Nixon with than Fed Paul Volker sealed it. The Gold Standard was ended.
This was the fall of the World Gold Standard. The ERA to be born to the “New Economic & Social World Order” now we all live by the promise of a note, the ERA of the bonds, the derivatives, and all the other forms of free levels of what has now become known best has the global Liars Poker Table of Sovereign Debts.
One who has written great articles and helped investors try to stay safe is the Minyaville.com who is Todd Harrison.
Todd has hit on many themes, but one of his themes is, “Phantom Deflation”. I sent him an e-mail recently, and it was based upon him hitting the cover off the ball on his Buzz & Banter post on moral principles of life and trading.
You can bet in the next months that are untold numbers of defaults of the high end of the upper end of the homes being abandoned and the ones setting on the edge of the fence will start to fall in the coming year once the stimulus is gone.
The theorems further stress the facts that the ability, and it is showing from the news releases of many now walking away from their mortgages now after learning the housing market is “Now Officially up Side Down” when reports were released during this first week of June 2010.
Yet, I remind you, when this occurs, the veracious spending, and consuming habits are raised per economic formulas of the theorem due to a few serious factors that bring on COASE Oppression testers on Samuelson based economic use of GDP normalized growth metric models.
These forces consumer spending though is poised to increase to levels that are going to go off the charts. Call them; the generations of the lost souls who have seem to of lost who created all things in the first place, if you again, believe in the Creator.
That is the missing part of all economic equations learned by this student of economics.
Professor Joseph Stiglitz has reached most likely the farthest distance with his latest push of theorems trying to measure what is the happy factor of the, “Human Unit” that is critical to measure for the countries well-being.
I would say, Wow, timely theorem to add to GDP, CPI as this is a measure of the Austerity factor and was added myself as part of the equation of the COASE Oppression Theorem overall insurability for reliability of data markers.
Balance their lives and their family’s lives. That previous statement is not good for the markets!
The other one is much more likely as generation X, Y and z just cannot control their consumption appetite and their fall within the social decay of our ways of allowing such decay to be written into laws around the globe.
I want it all, stays on this econ-students mind that leaves the radar for investors looking for plays all over the disposable world of gadgets.
Gadgets and what can make someone happy for the moment and they move on to the next thing because it is just that simple now. Until I see no ad running on the Internet or a TV(s), I think I will go with this as a sure answer that corporate and the governing bodies of our Countries must move on with the COASE Oppression standards of the new Economic Social Orders.
So what does this mean for your financial advisors or if you’re taking care of your own investments along with if, you’re the market maker fund manger professional?
It will or should fuel the markets in the next 2 years, but not the way MA & PA were sold on their don’t worry everything alright.
They as well as the pros can’t relax anymore in this COASE Oppression market. MA & PA need active managing your funds, but in truth, if you’re not over a certain value within your account, you might not be active at all and go down as a holding long stuff that should of been sold and adjusted.
James Cramer made great comments off his MAD Money show last week on this point. The message is you will need to be very active with watching all the laws and changes in tax laws along with keeping up with your money and what it is doing now.
I said this once, I have to say it again, and “MA& PA this is not Kansas Any More!”
With that said folks, have you ever been on the ride you have to sign a paper that says, “You may experience a Heart Attack, or could have a serious injury after the ride?” Strap on your seat belts, MA & PA America and the Pros on Wall Street.
This market will offer the biggest of returns in the next three years, but with this caveat. It will also savagely offer consumers spending in despair lost due to the COASE Oppression Theorem driving markets. Wow, this will be making even the most seasoned non-emotional veteran Wall Street Pro.
A Pro that if he or she has a belief of the Creator walk away from what they have done from the sure ugliness they will be the first to see since they are the trigger that assisted the action.
I hope that the counter reaction is they will come to the aid of many of their fellow friends and neighbor because they have figured it out finally it was the rich that actually were in the radar of the COASE Oppression theory.
The sovereign spread of debt to credit in the new economic order is a non-equation once the Gold standard of 1971 was wiped out. The signals are clear folks, being adjusted and organized into packages of laws for use globally by G-20, and what is also called G-2, the canary as Greece, Spain, Public Sector Workers of New York and the list will grow, but the laws of America are yet killed the American dream yet folks. We are close though.
Words like Dhimmitude and other prime choice entry are place in documents all throughout recent laws. (Go Google the word and review the Health Reform Document)
This word was part of the Health-care reform bill. It actually separates a nation and does not bring a nation together.
I would love to know who forced and truly added this verbiage of Dhimmitude. Take time to look at the document and the word. Then you will get the message.
Last thought about the health-care reform, be concerned for the affect for all current workers, future workers, those without work, and retired.
The why is held with the fine writing and the flag for corporate America to cut many workers from their benefits rolls when the green light of the year they are allowed to take their $2,000 dollar tax penalty per employee released off their health insurance roll.
Also imagine this is why we see such a build-out in the could computer connections and IT boom as this offers an ability to lesson even more of the work force.
These American Constitutional Laws and any New Laws that change any of them are critical now to MA & PA America.
They are considered and to be considered by all unions now as protective due to austerity coming as sacred ground and the area that needs most protection.
We cannot rest and your Votes Still Count MA & PA America as Laws for the rights of how families are on the table as to tax laws affecting pensions, retirements, and a host of austerity we need to understand.
The message is clearly sent, Votes Count for MA & PA to survive the New America with what is already a new Health Reform and New ERA of High tech and jobs with sciences.
This is an America in transitions with strategies that are being written as we go.
Education in the high tech areas and making the young get Math and Sciences down as foundation as this will be their only key to future job survivability along with some of the normal service sector and assembly areas.
This means long-term jobless folks and changes. An America re-building of what is GDP? An America corporate market asking, what level of production and CPI figures and type employment is really at play for our folks, and what is the real HUMAN UNIT need for the corporate build for producing ROI?
Until then, austerity could mean many pains and deep changes of retirements for MA & PA America.
Ma & PA might see lock outs too areas once thought scared and untouchable from the government or corporate pension boards along with other taxing authorities previously protected by Union contract or other such federal or state laws.
To end this article post. Make no mistake. The Coase Oppression Theorem affects not only the middle as normally seen as well as the usual poor rung. This time, it goes directly for the crust of the rich.
The rich of the upper crust of the higher middle class to lower elite’ class that normally consumes and uses and does not pay attention to the systems, but is not truly in charge of the systems as the upper elite of the select are the ones running this show with the help of the great deceiver himself.
They are the ones marked as this theorem raise from the results. The theorem clearly pulls out the other lower classes in this next journey feeling the true affect of what is to be the economic pecking order.
A pecking order of real dollars coming from the rich of the upper crust of the higher middle class to lower elite’ class their legacy’s or wealth affecting their lives and ultimately, if they have a belief in a creator being God, a challenge with a loss of their very soul this being the true loss as well.
Far-fetched, I hope not, Get to be mindful to live within your means… Bring the Creator, of “I AM”, back as a friend within your daily life and your family’s life.
You might be comfortably surprised, it might not change the Oppression or possible conditions personally you are experiencing within this existence.
Since I am an Econ Student trying, become a Professor, and may help with the financial area by throwing in my hat as many have asked for my assistance. You can survive many of these days coming ahead and the challenges placed upon you financially, health, the raw facts of what makes us a human soul.
I say this because When you can just say yes to the Boss of, “I AM” as to trust with all of your heart, mind, thought, and soul, you have just entered the ability to adapt to survive the passion to survive changes of decay of Man moving away from God.
The next steps are that you than are open to the facts, that you can make the best without making the greed and fear a problem. This is where one can mark always and have the market edge over those who seek the ruin over those with that as their unconscious mission.
To end this article post, you really need to bring this to focus on what made it all happen. This is all about moral, ethical, and morals with the loss of virtues that continue to erode our nation and many other nations around our world.
This is the time to stand up and make a change individually first, then within your family, to invite back a calmness of knowing a creator that can be part of your daily life and bring yourself and the ones you love to live within their means.
It is that simple, it starts first from there; and it goes forward. I call it as certainly a few before me have, “paying it forward”, and mentality. A paying forward of helping your neighbor as this builds a village to a nation to a global world of sustainable growth as I think we all seek.
As far as investing and winning in the stock market, just try to take risk and make it a smaller portion of what is considered a manageable risk.
What is a manageable risk?
Risk defined for those who think they know the answer. It is when you feel you are no longer afraid that anything can ever be taken away from you and the house always wins. It is the end of the story in the Bible if it’s a book you have ever read. The bet has already been set and the hedge is set.
The smart minds can run the options and all the numbers in the markets and this is OK.
It is considered wrong though when they take measures to, PONZI and all the other conditions that have now occurred that have caused the world of MA & PA to become open to Coase Oppression Economics.
We know God in the equation will equal a social order that will consume with a sense of not wanting it all and living more within their means.
The Risk for the market bets are taken care of through taking emotion out and entering the math of no greed and no fear. Just what is needed to get what is too establish the life style within an actable social order of a creator that would be within the equation.
RISK ULTIMALY SHOULD ALWAYS BE LOOKED AT BY THE VIEW POINT OF ONES TREASURES THEY HOLD EVEN IF THEY DON’T EVEN KNOW THEY OWN ARE ALL AS ONLY TO THEIR SOUL AND TO NEVER JUST VIEW RISK TO THE DOLLAR OR AN ITEM THAT CAN BE WORN OR CONSUMED.
WE ALREADY KNOW THE SIDE TO PLACE MOST OF YOUR PORTFOLIO OF WHAT IS THE SOUL OF THE YOU THAT LIVES TO READ THIS ARTICLE AND THEN ASK, Where do I have most of my portfolio of my true treasures placed?
Best way I know of explaining of being on the side of risk when it comes to the ultimate side of risk. Eternal, Risks…
May you keep yourself or your families calm, in what seems a sea of storms…
Peace for Now I am Out of Here for Now…
James Gornick
Complete Accountability to “We the People” who hold the True Power prevents Fraud, Abuse and Corruption. Good government must ALWAYS be kept In Check.
U.S.A. got way off track about 1913.
It was realized that the “BANKSTERS” would have to become PARTNERS with the POLITITIANS and that the STRUCTURE of the CARTEL would have to be a CENTRAL BANK.
The Federal Reserve Bank is Set Up as a Privately Owned Banking Cartel Controlled by a Small Elitist Group of Powerful International Bankers.
This Same Cartel Owns Other Central Banking Systems Worldwide Including the IMF (International Monetary Fund) and World Bank.
The Only Real Financial Crisis of the U.S.A. is Hiding in the Audit of the Federal Reserve.
If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks…will deprive the people of all property until their children wake-up homeless on the continent their fathers conquered…. The issuing power should be taken from the banks and restored to the people, to whom it properly belongs.” –Thomas Jefferson
Does our government think that “We the People” are now here to serve them? Are they out of their minds?
“Few men have virtue to withstand the highest bidder.” –George Washington
True worldwide “Social Justice” can only really happen in the complete destruction and death of The Federal Reserve, and then by following its long ugly tentacles around the world to kill this blood-sucking monster and destroy it forever.
I’m not talking about redistributing the wealth; I’m talking about taking back Our wealth that has deceitfully been stolen from the U.S.A. and many other Countries for a long time. They stole it and did not accumulate it legally or morally. Our wealth has been embezzled. They are cheaters.
There is only one major division in America; the Huge Majority of Americans who still value our Freedoms and Liberties, are Loyal to and still want to follow our Great U.S. Constitution, the Teachings of Our Wise Unselfish Forefathers and the other side. They are the sheeple that would be led by lying incompetents into a very controlled life of bondage and servitude.
Our Freedoms, Our Beloved Constitution, Our National Sovereignty, “We the People” and the fact that we are a Constitutional Republic is why the United States of America is and will continue to be the Greatest Nation in the World!
Our Forefathers gave us all the answers and warnings. They warned us to always watch and never trust our government, as power can be corrupted. Our Great Forefathers were brilliant.
Obama, The Bush Gang and most Presidents beforehand that allowed and pushed a Globalist Agenda have put “We the People” in the position we are now in.
Our Great U.S.A. was sold out in 1913 when the International Bankers started the
- Privately Owned – Federal Reserve.
It was realized that the “BANKSTERS” would have to become
PARTNERS with the POLITITIANS and that the STRUCTURE of the
CARTEL would have to be a CENTRAL BANK.
“Against the insidious wiles of foreign influence, (I conjure you to believe me fellow citizens) the jealousy of a free people ought to be constantly awake; since history and experience prove that foreign influence is one of the most baneful foes of Republican Government.” – George Washington
“The essence of Government is power; and power, lodged as it must be in human hands, will ever be liable to abuse.” –James Madison
“The people are the only legitimate fountain of power, and it is from them that the constitutional charter, under which the several branches of government hold their power, is derived.” -James Madison
“Every government degenerates when trusted to the rulers of the people alone. The people themselves are its only safe depositories.” –Thomas Jefferson
“We the People” have been taken advantage of by our “public servant” employees.
We can no longer tolerate their lack of Integrity and Honor.
“The time is near at hand which must determine whether Americans are to be free men or slaves.” –George Washington
We don’t need to just Audit the Fake Federal Reserve.
NO MORE COMPROMISES!
WE NEED TO CUT OFF ITS UGLY HEAD ONCE AND FOR ALL!
NO MORE COMPROMISES!
http://www.tomdavidd.com/blog/
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