What is your idea about recession?

all of this started when lehman brother no.3 financing company with worldwide accreditaion declreaded bankruptcy. all insurance financing business was affected. that company is the 3rd largest worldwide. so many companies relaying on them. when they stop supporting those all of them collapsed like domino. if your business is not strong might be affected too because of low sales output ..why? many no jobs and cant afford to buy something. even economic is affected. all is affected like domino.

i agree on you yuki many financing companies sunk like titanic. all their capital was hold because they are tied to lehman brothers . big company in NY. all the money they used is financed by that companies. so many insurance companies depending on them. after the declarations.. all bank transactions was hold. no more money movement. thats why those companies dont have money to purchase raw materials. the production is stop then create more jobless. even the big company is affected even not connected to lehman because of low sales. bcoz less jobs many people dont have money to spend. the credit card companies having hard time for collections. another lost to banking.

thank you naughty. i know your the best finance analyst. im honored that the best man in the field agree on me ..im not economist either

your analyzation is the reality of whats happening and why its happening,, you deserve my respect on that views

wow im good now hihihi thank you again.

yes i agree with you sister, but the recession in USA are started 2 years ago before the declaration of Lehman brother's about their bankruptcy, then when the time that issued boom out so economy will started affected, and some company also started collapsed of that said issued. specially all those who have business in real estate and electronics too. that's why there are so many jobless now.

yes i know it started in 911 bombing that company is the reponsible to all the damages done by terrorist attact. it takes time before they decided to decleared because they thought still can fix it. they still trying thier best to revive the lost. that comapniy operated worldwide. how many terrorism worldwide if you can count? those companies are affected because they have connection to the lehman. as i said many compnies in manufaturing is supported by lehman. many investors was afraid to invest. bcoz of crisis. we can feel it right now.

Its just part and parcel of a screwed up financial system which people never understood in the first place. Irony is that none know what is money and we do nothing but depend on it and keep cheated long term.

We are not going to ask them the vital questions nor are they going to tell us the real problem. So it has become second nature.

There is nothing to blame anyone in particular or is there like who started it. It was just an aftermathematics. There are many in such a red and many to follow. But they can also escape if they manage with fresh money.

@eshan
are you businessman? or just one moslim trying to depend the terrorisms. no reccession or drepression if there is no terrorisms. those insurance companies are tired to pay those losses. now we all suffering to their religions believes.i think you dont understand what are you saying. no one to blame? oh come on.!!!!

well it takes knowledge and experience to understand what I have said. From your statement structuring, I can understand that you just believe what is said. Hence its best you lift things that is more suitable to your weight.

In a single line I said screwed up financial system. After that I dun waste my time relating with stupidity of insurance company or banks. They are reaping what they sowed.

i see thank you for your explanations. i didnt get anything interesting.

i agree to yuki and naughty analization. as businessman i suffered alot. that is life sometimes earning and sometimes down. financing business is affected most because of the insurance claims. not to mentions those businesses affected to those terrorist attact. now the world is suffering this is what they want. all will suffer because of stupid believes. and anger to thier heart. like what they said its like domino effect. just one big collapse all will be affected. if this terrorism not stopped more poverty in the future more hardship. more crime, more jobless. only peace can make this fix.

I DONT KNOW MUCH ABOUT RECESSION BUT SOME GOOD COMPANIES ALSO TAKE BENEFIT BY BOOKING THEIR DISPUTED EXPENCES OF EARLIER YEARS AND SOMETIMES REDUCE SALARY AND REMOVE UNWANTED MANPOWER FROM THE INDUSTRY.

I am no economist, but I see that the recession is a playground for elites.

I am not economyst too nor political analyst, but i can see also the recession are still going on, and all economy are continues slowing down, the main affected for this recession are the middle class, specially those are the poor people.

@ geraldine
yes all will affected bcoz of no jobs.those investors are afraid to gamble their money for new investment bcoz of the crisis. all their money is freezed in the bank. stock market is affected bcoz no new investment. no new money flows. because they all afraid to loose big.

yes your right, and we don't know until when we can feel this crisis, Maybe the best thing that we can do is to pray for the recovery of our economy.

to help them ??? help those still on business. buy goods if u have money. they need money flows. investors not invested money now. they all scared..its up to us in end users. support those active or save our money and more jobless in the future if they didnt have a target sales.

i googled this....What's the difference between recession and depression?

There is an old joke among economists that states:
A recession is when your neighbor loses his job.

A depression is when you lose your job.

as for me,recession may be the effect of a reckless irresponsible handling of resources ..those in power can play with their millions and billions...but it's the middle class and low striving citizens who are directly hit with this economic state...and where's justice in that? :P

@shalee
try to start in sept 11 bombing after that all movement was slow.

yeah, that's pretty much a logical one, Sept 11 marked as a downfall of a highest economy icon, even literally that is...i'm not really into these things...i'm looking at all these in just a bigger common scenario as a common ordinary citizen...just expressing my sentiment is all =)

i know but u asking for an answer. i thought i helped a little. you are not look 95 lol

you did helped ..obviously you're the experts on this, you and yuki hehe...i've been reading this interesting threads.....thanks :)))

lol,my age is kind of a protective shield among the z pervs...it's a lie for a good cause :)))

It was actually not sept 11 .. for it was only a notional loss. But the Iraq war and the amount US spent , is what started it all..

@sahlee let me guess minors?

@ sahlee i guess u r mid 20's

@ eshan if there is no terrorism no war in iraq those terrorist gave the usa authority to so wars legally.

@ naughty
wow...mid 20's?? thanks..i'm honored haha...never mind my age..i stopped minding it myself sometime already..lolz

nice conversing with you :)))

thank you so much. mabuhay

@naughty.. Just because the dog bites, we don't go and bite the dog back and suffer from Rabies later.

@sahlee
economic depression is just slowdown of the business means not manufaturing many to manufaturing busines no financing approval to those in financing and insurance company.no loan extentions to those creditors....reccession is totally stopped. means no investors want to sell their goods to be manufactured. that is the difference between the 2.

hey are you economic teacher lol i love it well said

no ! you guys always talking busines if im around i learned from you lol

@yuki
well..thanks....that's a comprehensive explanation for starters like me..lol

i have found this simple definition in the net...and i think this is what your explanation is all about

recession is a decline in the Gross Domestic Product (GDP) for two or more consecutive quarters.

yeah?...

yeah slow down in other word becuase sales is dropping over production will not good.

you are welcome sahlee

This is also my idea about recession and depression:

Recession when there is negative growth in production output in one country,

Depression means when countries ceased to produce becoz of economy turn down and its world wide in scope.

In recession everybody are affected, better are those poor who will loose little only, but those billioner's capitalist will loose more, e.g in our country those who live in our country side like in ukidnon, they dont have concept of recession, they dont depend on capitalist. For their daily subsistence they depend mostly on the natural resources around their village, like agricultural products. Nevertheless for some instances they will be affected by the recession like when they get sick. If before they can buy medicine for fever only for 20 pesos per 10 pcs. During recession, price of fever medicine jump twice or for 20 pesos they could only buy 5 pcs, this exemplifies the ratio of how much a person loose when he is dependent on the capitalist world and when a person has large money to invest.

yes, the less fortunate has little to loose and the billionnaire has so much to loose...but hey,sis,this little hard earned money they got is everything for them..the denomination is just what makes it different but the worth and significance for both group of sector is almost the same....

yup, the concept of "back to basics" is more like it...well, what we sow we reap... man turned his back to Paradise and depended on his new-found knowledge...but then there's always hope.... :)

Was it really the Iraq war or the Sept. 11 bombing that started the current recession? How about the 1995 financial crisis? isn't it the precursor of all this mess as i can remember it, banks in the philippines were oblige to merge to better combat future financial crisis. there were laws that were pass to achieve this. However market were not regulated on amount of profit to be taken. So companies targeted higher profit to attract customers, to the point that their marketing strategies are no longer realistic in their business approach, e.g credit cards companies sell their credit card without back ground checking their customers capability to pay, just to show to the investors that they have large customer base. But in reality some customers cannot really pay, it be came rampant that some credit card users will borrow then will apply for either card lost or promissory to pay later. With this scenario the capital of the credit card companies be came stagnant, in effect the liquidity of capital of their mother unit such as lehman brother be came stagnant also, resulting to reduce marketability and profitability and eventually lead to bankruptsy

i heard to my ex about the problem in phillippines. the problem there is those politician digging the company and not stable goverment you have. added by those labor union always demanding unreasonable. he have electronic company there before and some stocks in phillippine stock market. but because the company and the inverstors are so afraid to the future of politics he tranfer his investment to china.

thats a wrong notion, using political problem as reason for the depreciation of values of stocks is just the tactics of stock market speculators. In a free market or capitalist world value of investment should not be dictated by politics, but rather of the profitability of the company. So, it just so happened that market players in the phil. always look at the political climate, thats why they use it as gauge for stock market investment. But look in US and other mature western countries market is not affected by politics but the general outlook of healthiness of their economy.

Correction, most electronic companies in the philippines have no labor unions. The electronics industry in our country is affected by the recession when demand from US tumbled. It is true that phil. has many labor unions that demand unreasonable compensation but the exception is electronics. for sure your ex has other good reason why he transfer his investment to china. and i guess its cheap labor in china.

i know i got your point geraldine but the inverstors is scared of unstable government. if you have money and investede to the place the might have civil war or always changing government what will you feel? human nature to feel worried to their money invested.

yes now most of them using contractual employee now because of those labor unions. and the cost of production is so large compare to china. i been invested to his company before. i know the flow and i know the business treands that time. and other reason no politician buzzing like a bug to dig some support. and one more thing he afraid of kidnapers in the phllippines. many japanese businessman have been kidnaped there. not in the new bacause they dont want to have panic from the investor that trusted their money.

@yuki
its case to case basis. yes if i have the money to invest, i will not invest it in a country with the tendency to go to civil war. However, if you will consider the culture of the filipino people, though our political climate is always turbulent, we are still peace loving and we do our protests in civil and democratic ways. Look at those chinese businessmen, if they are afraid of the kidnappings and peace problem in our country, they wouldnt stay here nor they will be the majority of holders of large portions of philippines economy. In fact, by statistics, those of chinese origin are the ones who have the highest incidence of getting kidnapped. But why do they still stay & invest in the philippines. thats because there is abundance of natural resources, talents, and most filipinos are friendly/happy persons. Moreover, we filipinos are one of those not seriously affected of those previous recessions. ya you have your points but i can say that i know better whats going in my country. peace be with you

i agree on you geraldine but those stock holders cant understand it all they seeing is the rallies and demostration. you want me to tell them one by one not to remove it?

let me explaint to you what corporation means....it composed of board of directors.president and vice pres... there is voting system before one company decided to full out ,those scared board of director is the one voted for transfer. they believe in news. they scared to unstable country like yours. they dont want to gamble their investment. i wish you know what i mean this time. you still insisting that everything is ok to invest to unstable place....
let me ask you..if you are investor will you invest to taliban territory? always have wars?

It's a 'natural human process' :)

Yes i also believe that recession is partly natural human process. in my opinion recession is one consequence of human strive for economic globalization for better and easier transaction and movement of products.

I personally think it happens because of cruel egoism & lack in communication skills. Lotta people think quick success is worth more than long-lasting connections.
The idea of globalization is vice versa.
How globalization is interpretated by individualists (same in religion) who only wanna take but not give..this might be a reason for recession, yes

hi
how are you
i do think the ressition is big lie ,bull sh*t it a big setup by usa to cover up for thier failure and so to distract the people about the truth and thier is channel called truth amircan channel by the way expose the whole setup
wow and all of sudden all the big company in usa has increase in thier income
wow what a recesstion