Wrong time to borrow and support the declining world markets.
Monday, October 27th, 2008One of the best examples of a declining market economy is what is happening in the world now.
As those with loads of cash scramble to attempt to save whatever is left of their cash the markets continue to fall due to a number of unseen forces at work.
One major issue is the way certain governments are attempting to borrow cash in order to rectify a shortage of market stability. Thats a bit like closing the door after the horse has bolted out of the barn. It wont work and will only make matters worse later.
UK is a good example of scrambling to try to save a situation from getting worse old ploys in a changing time. Things are very different from the last time and as things change so to do market strategies and the way they move.
Best to let this find its own level and sort it out from there. Sure there will be those who scream and yell but this was not possible to stop even if you did know it was coming.
Greed breeds more greed and so the cycle goes those with it are never satisfied and want more. Trouble is the system only has so much on offer before it collapses in on itself.
Leave it all alone and soon it will leel off and so what if those who had the money end up not having it anymore they did not handle things very well when they had it and the present results pretty much say it all. Let it move to a new area and level and grow from there and maybe this next time it will build on ore secure ground and not a swampy one.
Excessive debt when it outgrows managable levels collapses as there is nothing to prop it up and greed is a disease that operates like that give it out easily and then watch it all fall.
This needs to find its own level or if it is propped up artificially again the next wave will only collapse in on itself greater than before and the situation can then only get worse as there will be less reserves of borrowing power later to climb out of it.
Patience and wait is the way to go.