/biz/ - Business & Finance

[Anonymous No.11389768]

hello /biz/, i'm very dumb at understanding finance and economics
people in my country are going crazy these days, they think a new 2008-tier crisis will come this week

whats your opinion on that subject ?
sorry for bad english

[Anonymous No.11389892]

Black africa is largely shielded from first world recessions. You don't have to worry.

[Anonymous No.11389928]

>>11389892
i'm not african but my country (france) will be turned into yugoslavia if the economics falls

[Anonymous No.11389970]

>I don't know anything about a subject
>no indication any work was done to acquire knowledge
>do all the work for me plox
french as fuck

[Anonymous No.11389978]

Nice rare apu fren
And France won the World Cup
You should b happy fren

[Anonymous No.11390005]

>>11389970
i'm a big history genius but like all autists i can only focus on one subject
teach me the next crisis and i'll teach you anything about history on /his/
>>11389978
thank you but the world cup is not important in our daily life, our country is very divided and ethnic tensions make it worst i'm scared about the future

[Anonymous No.11390095]

>>11390005
Well anon, the central banks (in europe its the ECB) have kept interest rates super low (like near 0%) and when they do this, many people and corporations want to get more debt because its cheaper. This means that people who cant pay back their debts are being encouraged by the central banks to take on more debt.

[Anonymous No.11390153]

>>11390005
>>11390095
Also, many corporations not in the United States are taking out debt in US Dollars. This means that if the US Dollar gets more valuable, they will find it harder to pay back those debts. If the US Dollar gets cheaper, then the United States will be flooded with their own currency and they will get alot of inflation.

[Anonymous No.11390158]

>>11389928
>i'm not african but my country (france)
So you're African?

[Anonymous No.11390203]

>>11390005
>>11390095
>>11390153
Also, central banks (like the ECB) usually lower interest rates when there is a recession, because when interest rates are lower, credit is easier to come by, and people purchase more, stimulating the economy. HOWEVER, the central banks will NOT be able to lower interest rates enough during this coming up recession in order to make meaningful stimulation of the economy. This is because interest rates are already very low.
ALSO: Central Banks can purchase assets like bonds in order to unlock funds and give more money to the economy. HOWEVER, they will not be able to do that as much this time because they already did it very much during 2008 recession and later.

[Anonymous No.11390291]

>>11390005
>>11390095
>>11390153
>>11390203
Also, in the United States, the Congress passed a Tax Cut. This will add more money to the economy, but with interest rates so low, people will be taking on alot more debt with their extra money. And the government wont take in as much tax money, leading to the government having to take on more debt (by issuing bonds). When a government spends more money than it takes in, this is called a deficit.
Normally, its okay if the government has a deficit. However, this deficit growth is BAD because the government is having to issue MORE DEBT (bonds) with a HIGHER INTEREST RATE (higher coupon). The reason for the higher interest rates is more risk (because the government is issuing alot of debt and there is a chance of default) and slightly higher central bank interest rates (they are raising rates but they are still very low)

[Anonymous No.11390330]

>>11390005
Anyone can be a "history genius". It's just memory.

[Anonymous No.11390331]

>>11390095
>>11390153
>>11390203
>>11390291
thank you
so if i'm right we are fucked

[Anonymous No.11390343]

>>11390330
if you were an history autist you would know that there are more things in history than just facts

[Anonymous No.11390352]

>>11390005
>>11390095
>>11390153
>>11390203
>>11390291
ALSO, the central banks are raising interest rates around the world (because economy is growing and wages are rising). Normally raising interest rates is going to slowly cool off the economy and put us in a recession. HOWEVER, in the current state, many companies AND GOVERNMENTS have taken on massive amounts of debt, so much that they will need to get more debt just to pay interest payments. Because they need to get more debt to survive in the future, they will have to pay a higher interest rate. This will lead to companies/countries having 3 options.
1) issue more debt with a higher interest rate (and if youre a country you can print more money)
2) go insolvent (meaning you dont pay back your debts)
3)work terms out with your current creditors(people whom you owe money to) to reduce payments

[Anonymous No.11390353]

>>11390343
I know it, and it's just memory either way.
You don't need math to understand history

[Anonymous No.11390378]

>>11390353
Also, very weird you call yourself a "history genius" but not know about economy. Economy define all aspects of life

[Anonymous No.11390381]

>>11390331
No, we're not fucked. The world may be thrown into a DEEP RECESSION/DEPRESSION, but as a species, humans will persist.
We will probably see populism/communism/national socialism make a comeback. The political consequences will be pretty severe.
But im no oracle, im just a 17 year old who likes this stuff lol. So just be sure to have a plan if the electricity goes out or the food becomes scarce.

[Anonymous No.11390393]

>>11390381
you can say that because you're country is not on the verge of a bloody civil war

[Anonymous No.11390402]

>>11390393
Oof. Is macron really messing things up that badly in france?

[Anonymous No.11390408]

>>11390393
>>11390402
Or is it the Bogdanoffs? Lol

[Anonymous No.11390448]

>>11390402
not just macron, the effects of 40 years of political incompetence

[Anonymous No.11390456]

>>11390343
History is basically repeating what you are told. Archeology, instead, is the search of the historical truth going to the source. In History when you aren't reading the original sources of information you are just a puppet, and that's why History without blockchain is just a meme where the winners dictate what propagates to the future.

[Anonymous No.11390478]

>>11390456
ok but i don't give a fuck about your autism just like you don't give a fuck about mine, this is a thread about finance

[Anonymous No.11390487]

>>11390448
Wow, thats gotta suck dude. You should try to get a US visa if you feel that way. An English/French certification can help you get a job with the government. Dont believe the /pol/ tier larp about civil war in the US. It really isnt that bad here if you just dont watch political crap.

[Anonymous No.11390493]

>>11390487
USA has third world levels of criminality. Only a madman would move there

[Anonymous No.11390534]

>>11390487
i'm from south-east france, this land used to be a litteral third world shithole 30 years old ago, we survived worst

[Anonymous No.11390537]

>>11390493
Thats true if you live in the cities, but if you live in the countryside or heartland (Like Georgia, Texas, or Nebraska/Kansas) its pretty cheap and not criminalish. Plus, you can buy land, guns, and a house. You could have 100+ acres by retirement with a house if you really look and buy when everyone else is selling.

[Anonymous No.11390550]

>>11390537
This applies to pretty much every country in the world

[Anonymous No.11390573]

>>11390550
I guess. But as a US citizen i really dont know where else is better...I do eventually want to visit/live in the UK but its pretty expensive.

[Anonymous No.11391480]

>>11389768
>i'm very dumb at understanding finance and economics
just like literally everyone else on this board

[Anonymous No.11392645]

>>11390005
that's what you get for giving Israel nukes decades ago.
It seems to me the more you help (((them))) the more they fuck you up

[Anonymous No.11392664]

>>11389928
just keep making vaporwave and truffles you'll be fine

[Anonymous No.11392673]

>>11389928
>not african
>france