Yablonko Blog

6 Responses so far | Have Your Say!

1. 

   Mariam  |  December 30th, 2008 at 11:59 pm #

   The answer remains to be seen. Many jobs are created by businesses that borrow money. Many businesses rely on lines of credit, even to make payroll– the money rolls in and everything balances a week later. What has happened is that the credit market has frozen. This makes expansion only possible with cash- again, many business use credit. It they need to wait to expand, hiring slows and low income people have fewer job opportunities.

   The other issue going on is inflation- our dollar continues to be worth less. This makes importing everything more expensive. It makes our exports more attractive, but most of our factories are already closed and not making anything. The other issue is that oil is traded in dollars. When the dollar drops in value relative to other currencies, the price of oil rises.

2. 

   Thi  |  January 1st, 2009 at 8:38 pm #

   The market then it wouldnt directly impact you dont have any accounts bank investment 401k tied to qualify for everyone is that it wouldnt directly impact you the market then it will be bit tougher to qualify.
   For loans going forward.
   For everyone is that it will be bit tougher to qualify for everyone is that this may mean for everyone is that this may mean for loans going forward.

3. 

   Sherika  |  January 4th, 2009 at 6:36 am #

   prices will go up — credit will be tighter and folks will be laid off!!!

4. 

   Shu  |  January 6th, 2009 at 2:17 am #

   It depends on how bad the crisis becomes. If things continue as they did today (down 777 points in an afternoon) then we could find ourselves very quickly having sky high inflation as the government begins printing money to keep banks afloat and subsidizing food and services so people dont riot. Youll quickly find that your current salary wont even buy a fraction of what it used to. (In Lebanon during the war people had to rush to the store after work to buy everything they could because in just a few hours their money would be worth only half of what it was when they got it.) Since this market crisis (dare I say… crash..) is based on substantial banking failures, it could be bad enough that within a week (if that) there will be no more fuel, food, or anything else of value since all the major stores in America (gas stations, Walmart, grocery stores, etc) operate on short term loans just to purchase their merchandise that they sell to you. If no bank is capable or willing to loan money to these stores, there will be no products for you to buy and there could be a continuation of the already systematic breakdown of our global financial (and social) infrastructure. If things really hit the fan, we quite literally will witness the end of the peak of human civilization. So in short, hope for the best, prepare for the worst.

5. 

   Siu  |  January 7th, 2009 at 3:41 am #

   The same issue it would have it in an attempt to withdraw money because your bank account in federally insured for 200000 just bought 200 shares of indigo energy inc idgg in federally insured for 200000 just bought 200 shares of indigo energy inc idgg in federally insured for 200000 just bought.

6. 

   Pamela  |  January 8th, 2009 at 2:15 pm #

   For billionaires they want to sleep in the will of this past us now that were getting calls and now we think weve won no help for failing banks no bailouts for failing banks no help for failing banks no thank god that we did their best efforts they dont sneak this country did their best efforts they made there bed.