G-20 agrees to pony up a trillion dollars to fight financial crisis

Discussion in 'Politics' started by D_Ireonsyd_Colonrinse, Apr 2, 2009.

  1. D_Ireonsyd_Colonrinse

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    The Dow is soaring (it's up over 8,000 once again).

    G-20 Summit countries have agreed to pump a trillion dollars into the IMF and other world banks (the agreement is the largest macroeconomic stimulus ever, and a good deal of money will be pumped into developing countries, the countries not represented at this "rich-man's summit", the countries that account for over half the world's population).

    France's Nicolas Sarkozy and Germany's Angela Merkel had threatened to walk out of the meeting in the midst of proposed stimulus spending, but everybody emerged from the summit smiling and holding hands (Sarkozy's supermodel wife, Carla Bruni, did not accompany her husband, so all the tabloid and fashion attentions were lavished on Michelle Obama... who appears to be a smashing success, at least in London).

    Obama met with Russia's Dmitry Medvedev and will visit Moscow in July (re: a new strategic arms-control treaty that would cut each nation's long-range nuclear arsenal further than previous agreements). Medvedev says he wants a new relationship with the U.S.

    British P.M. Brown: "The old Washington consensus is over". Brown calls the meeting "part of a new global consensus". Brown said there were no divisions at summit's finish, only agreements (the nations have all pledged to maintain spending to expand the economy).

    Hedge funds will be brought under a "regulatory net".

    The chinese are claiming victory for pushing for more IMF stability.

    Germany's Merkel is claiming victory for injecting "financial discipline" into the agreement's wording.

    Everyone seems to be claiming victory.


    And Barack Obama appears to have had a very personal and professional triumph on his first World Stage outing as the american president (and I STILL can't get that damned awesome image out of my mind of Michelle and Queen Elizabeth embracing!).

    Cheers all around. If all you LPSG members were here in my neck of the woods, I'd buy everyone a round of drinks. We - and this economy - can use a bit of hope and optimism just about now.
     
  2. B_starinvestor

    B_starinvestor New Member

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    sounds like the meeting went well.

    Keep those stocks going north.....
     
  3. pym

    pym New Member

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    WillTom, you are all-right in my book.
     
  4. D_Jared Padalicki

    D_Jared Padalicki Account Disabled

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    Yes that was what was in the news :biggrin:
    We'll see, luckily it was less dangerous as yesterday.
     
  5. Jason

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    I'm very happy that the leaders of the world have made an agreement. Had they not I don't doubt the financial markets would now be in freefall.

    But will it work? Will it help at least somewhat? Or will it actually cause more damage? Does anyone know?
     
  6. Flashy

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    too bad that predictably, they did *NOT* agree to the US/UK position to fundany new stimulus measures, which is what they have been dragging their feet on, and which is retarding the recovery.

    Neither Obama or Brown got our trading partners to spend on stimulus, which has been a major point of contention....shockingly, the French and Germans led the way against it...

    so don't get too excited

    this 1 trillion dollars is not going to stimulus or the banking systems...it is going to other countries in the forms of loans and loan guarantees, the majority to poorer and developing nations...


    color me thoroughly less then impressed by most of it.
     
  7. D_lkjhgfdsa1234

    D_lkjhgfdsa1234 New Member

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    Forgive my pessimism but the fact still remains we are set up for a freefall and that the Dow going to 8000 is a sucker's rally. Unless we do something about our own problems here in America- unemployment, housing values falling, devaluing of the dollar..., we are still no doubt in a recession and nothing has been accomplished in this summit. The government has been too busy propping up companies and granting loans with interest to poorer countries that us that they forget who buys the cars from GM, whose money pays the bills, mortgage, and goods and services. If we have no job, we have no money, and if we have no money, we can't buy anything, and if we don't buy anything, the companies go out of business. Companies are so busy laying people off, they've forgotten the foundation of the economy and that is the working class people that buys their crappy goods.
     
    #7 D_lkjhgfdsa1234, Apr 2, 2009
    Last edited: Apr 2, 2009
  8. slurper_la

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    More specifically Sarkozy threatened to walk if tight financial regulations were not put into place to prevent future disasters such as we've seen recently...

    and this from a true responsible conservative not the likes of republican BS artists here in the US


    willtom: have i told you i love you today? :tongue:
     
  9. Pitbull

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    $1 trillion divided by 20 Nations = $50 Billion

    So if each nation contributed equally
    All would contribute $50 Billion

    Since we are one of the 20 nations that have pledged this money, we just gave away $50 Billion. No one seems to bat an eyelash

    And I have not seen any report that verifies that all will contribute equally.
    Has anyone here?

    Why do I get the feeling that we will be asked (or maybe "WE" have offered) to give more than a 1/20 (=5%) share?
    Maybe past experiences?

    And does it bother anyone besides me that it looks like our president has just made a financial commitment of over $50 billion dollars (how much over doesn't seem to be clear).
    And that such a commitment should not be made without the approval of congress but seems to have been.

    We are giving money to failing companies.
    We are giving money to failing banks.
    And now we are giving money to failing countries.

    No debate, no congressional approval.

    Anyone care to comment?
     
  10. pym

    pym New Member

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    It's them God-Damn Democrats!
     
  11. Mr Ed in Mass

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    17 of the 20 nations involved have protectionist rules in place.
    What comes after trillion? zillion? kablillion?
     
  12. Flashy

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    that was *NOT* the only reason Sarkozy threatened to walk...

    he wanted a world economy "CZAR" (which did not happen)
    he wanted tighter regulations (which did not happen)

    no thank you.

    -he also did not agree to any financial stimulus (which did not happen)
    -there was *NO* agreement on any cross-border regulations, so he was obviously bluffing and grandstanding, cause had he walked out he would have been made to look a complete fool on the world stage.
    -once again, we have to pony up the largest amount, 100 billion along with the Japanese...while Europe as a whole ponies up 100 billion


    yes Sarkozy still didn't walk...

    "responsible" conservative my ass...more like "grandstanding" egomaniac, who wound up cowed by the other 19 leaders for his assinine and childish behavior.

    I can only imagine if Bush had threatened to storm out of a summit...you lot would be going ballistic and rightfully so...yet you praise Sarkozy for it?

    grow a brain.

    he is a petulant ass, not to mention he was totally wrong, and managed to look like a child stomping his feet to 19 adults at the summit.

    Cannot believe you guys are so desperate to score points you would actually praise the type of behavior youspent the last 8 years decrying.

    the true responsible Sarkozy...seemingly shitfaced at his G20 press conference

    YouTube - French president Nicolas Sarkozy drunk at G8

    of course, he couldn't have been so responsible if he weren't totally grandstanding for his domestic audience, where his popularity has slipped where 60% of the people do not believe he is doing ENOUGH to solve the problems.

    spare me your absurd canonizing of Sarkozy...

    especially now that he was whining about tax Havens, accusing them of being such devious instruments when in his past he was more than happy to assist companies he adivsed in setting up shelters in tax havens.


    Yeah...Sarkozy is such a hero.
     
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