Are we in the middle of a financial meltdown?

1,054 posts in this topic

 

Britain, like Iceland, in big trouble

Another silly, hysterical piece.

 

 

"The financial system here in the UK is maybe in even worse shape than the US," Jim Rogers said. [...] "The City of London is pretty much finished, he asserts, and if you're alarmed by the recent slump in sterling, you ain't seen nothing yet."

And another.

0

Share this post


Link to post
Share on other sites

 

"The City of London is pretty much finished, he asserts, and if you're alarmed by the recent slump in sterling, you ain't seen nothing yet."

That’s hardly a bold assertion though, it’s pretty much accepted by those paying attention.

 

What’s happened in London is an exaggerated copy of what has happened in New York: The city has grown altogether too reliant on a single industry. This industry is namely financial services. This industry is much different than manufacturing however, where the entry level workers physically produce objects for consumption and therefore have the benefits of both physical fitness and practical knowledge. The financial industry deals solely with paper, and therefore produces a class of workers who sit at desks all day producing nothing of any value to society. That’s why intense government oversight of this industry is needed. Since this did not happen, London has been populated by a class of obese executive leeches who can not function outside of a modern society. This means that during the inevitable coming zombie apocalypse, they will be both unable to defend themselves (therefore offering up their pasty obese bodies for ghoulish consumption) and also unable to offer any assistance in later rebuilding or survival attempts. Since the city is wholly compromised by these individuals, London as we know it will cease to exist, along with most of the British population which is not able to flee to the castles and other existing medieval fortifications.

 

In short, yes, London is screwed because of the unregulated financial sector gambling with our future.

0

Share this post


Link to post
Share on other sites

I agree with your analysis, however I'm hoping that Roman fortifications will do at a pinch - please advise.

0

Share this post


Link to post
Share on other sites

 

That’s hardly a bold assertion though, it’s pretty much accepted by those paying attention.

 

What’s happened in London is an exaggerated copy of what has happened in New York: The city has grown altogether too reliant on a single industry. This industry is namely financial services. This industry is much different than manufacturing however, where the entry level workers physically produce objects for consumption and therefore have the benefits of both physical fitness and practical knowledge. The financial industry deals solely with paper, and therefore produces a class of workers who sit at desks all day producing nothing of any value to society. That’s why intense government oversight of this industry is needed. Since this did not happen, London has been populated by a class of obese executive leeches who can not function outside of a modern society. This means that during the inevitable coming zombie apocalypse, they will be both unable to defend themselves (therefore offering up their pasty obese bodies for ghoulish consumption) and also unable to offer any assistance in later rebuilding or survival attempts. Since the city is wholly compromised by these individuals, London as we know it will cease to exist, along with most of the British population which is not able to flee to the castles and other existing medieval fortifications.

 

In short, yes, London is screwed because of the unregulated financial sector gambling with our future.

Capital allocation is of no value? Alrighty then , good luck in your future private sector career.

0

Share this post


Link to post
Share on other sites

 

tsk, both of those were posted after George Osborne's idiotic comments about the currency. Remember it would be very much in the Tory's interest to provoke a run on the pound. But it appears that the markets do not believe that Osborne is anything morte than a flimsy opportunist.

0

Share this post


Link to post
Share on other sites

@Btc

 

Actually both articles take a look at well-known structural problems in the UK economy. Not sure how Osborne or the Tories come into the picture at all.

0

Share this post


Link to post
Share on other sites

because after Osborne's comments the UK media went through a wildeyed woe is me frenzy. Fortunately the markets ignored them.

0

Share this post


Link to post
Share on other sites

Jim Rogers isn't anything to do with the UK media. Does anyone seriously doubt that the UK economy is over-reliant on financial services, which is the point of all the articles?

0

Share this post


Link to post
Share on other sites

Over-reliant sure , to the point that the whole thing has to go tits up and head under a ton of granite? no

 

RBS is a huge bank , operating in a large number of markets and countries, there is no way it can be allowed to go under.

 

all these doomsayers have been lathering themselves into a panic , this thread is a good example , I feel I have to re-start it on days like today when things are on the up but come the bad days it's a feeding frenzy...

0

Share this post


Link to post
Share on other sites

do some research Wheel, Jim Rogers was one of the founders of the principle fund behind the speculation that drove the pound to its knees on "black wednesday". I'd trust his analysis of the vaibility of London about as much as I'd trust a fox about the need for chickenwire.

0

Share this post


Link to post
Share on other sites

Black Wednesday occurred because the pound joined the ERM at too high a level - which speculators correctly exposed.

0

Share this post


Link to post
Share on other sites

 

all these doomsayers have been lathering themselves into a panic

Panic? Actually I'm finding the whole thing quite interesting; may it long continue downwards.

 

Doomsayer since 2005.

0

Share this post


Link to post
Share on other sites

 

Black Wednesday occurred because the pound joined the ERM at too high a level - which speculators correctly exposed.

are you a specular Wheel? It seems that as far as you are concerned the sun shines out of their arses while nobody in a bank or government is to be trusted. The run on the pound was post-justified as relating to the over-valuation of the pound on the ERM but many people believe it had much more to do with the self-interest of speculators and their backers in keeping the City of London out of the eurozone. The result was that by 1996 the pound had risen back to pre-Black Wednesday levels anyway and remained roughly at that valuation for the next 10 years.

0

Share this post


Link to post
Share on other sites

lots of shares posting rises today - not big but at least not the falls we've been experiencing most monday mornings lately

0

Share this post


Link to post
Share on other sites

Wow , nice thread , I'm totally on BTC's side - he's utterly correct - "speculators" also tried to beat up Volkswagen - and got royally crushed on it. It's easy to say people were correct after the fact - doesnt mean shit though.

0

Share this post


Link to post
Share on other sites

That's right, I'm a speculator. I also eat babies for lunch.

0

Share this post


Link to post
Share on other sites

Shhh - don't tell everyone.

 

I'm also

 

 

obviously a Russian spokesperson

...in my spare time.

0

Share this post


Link to post
Share on other sites
This topic is now closed to further replies.