Global Economy Bursting?

[Randolph Kinney]

Nearly Half Of Americans Die Without Money, Study Finds

http://www.huffingtonpost.com/2012/..._1746862.html?utm_hp_ref=business&ir=Business

 

[Terrel L. Shields]

Well, of course, have you seen how expensive a funeral is????

Seriously, that is a joke. Many older people put their assets in trusts or in the name of their children, often to avoid the hassle of probate, etc. And I have appraised a lot of places where to get any public assistance, the elderly had to become a pauper. A friend was diagnosed with Alzheimers at age 58. They quickly transferred the farm into a child's name. In 18 months, she was so disabled they had to put her in a resthome. They paid the monthly cost until the 2 years was up and then got government help. She lived 5 more years in a fetal position. The rest home would have ate the small farm with the 120 year old house in less than 3 years. Which also meant her husband and child would have been pretty much wiped out. As it was, her husband was able to remain on the farm until his dying day 10 years later.

Lots of people create family partnerships or LLCs to shield money from such disaster.

 

[Riick]

Nearly Half Of Americans Die Without Money, Study Finds
You mean you're allowed to die for Free?
or is it that dying costs so much, you eat up all your assets?

What Terrell said 1000% right.
If you have any significant assets, you'd be a fool not to set up a Trust,
or use some other method to shield them from Nursing Home fees,
and, potentially, inheritance taxes - if only from your State of residence.

Government taxed that money once, when you earned it, and no reason
you should let them tax it again, unless you believe in an exit tax?

/

 

[Big ole Boy]

San Deigo issues worthless bonds

I just heard on my local radio station that San Diego is issuing bonds where they do not have to make a payment for 20 years.

They had a 100 million dollar short fall and issued a bond that does not require a payment for 20 years. By the time they pay off the bond the tax payers of San Diego will have paid 1 billion dollars for the 100 million dollars they now owe.

THis is how cities are making thier budgets now .... issuing worthless bond paper

 

[DMZwerg]

Well, yeah, we should always trust graphs that show a sudden swing trend ot a continuation given a very brief period of time. In the graph above you see "The Developed Worlds" decrease from 1960's to 1990, slight uptick 1990-1995, then down 1995-2000, flat 2000-2010 then, based on only 2 years of data, a sudden and serious exponential uptick in the projected. Um, sure.

I recall in the 1980's an instructor pointing out that there was flooding along Lake Michigan shorelines during the early 1970's to 1980's because in the late 1960's the trend for the prior 6 years was for water levels to drop so the builders COUNTED ON the drop to continue at the same rate (call it "acceleration" if you wish) and thus building owners who relied on this and had built too close to the water ended up in trouble when water levels rose in the 70's & 80's
http://www.glerl.noaa.gov/pubs/brochures/lakelevels/lakelevels.pdf

Lessons I learned:
a) don't believe any graph that gives very limited slice of time (x axis)
and
b) watch the numbers on side to see if the graph is zeroed or not (gains and losses appear much more severe and thus create stronger emotions when shown in a limited slice than from the zero (aka, a limited slice of the y axis))

I find the graph in the prior post misleading (at best).

 

[Randolph Kinney]

California School District Will Spend $1 Billion to Borrow $100 Million

http://www.foxbusiness.com/investin...tricts-spend-1-billion-to-borrow-100-million/

It’s being called a loan not even a subprime lender would make.

A school district north of San Diego, Poway Unified, borrowed $105 million over 40 years by selling a bond so unusual that the State of Michigan outlawed it years ago. Taxpayers in the area will end up with a nearly $1 billion bill at the end of this deal.

The Poway school district is not the only one — three other California school districts in San Diego are set to gouge taxpayers in similar fashion. The San Diego Unified School district borrowed $164 million up front, but will owe a whopping $1.3 billion at the end of its long-term bond. Oceanside Unified sold a $30 million bond, but will owe nearly ten times as much decades later, $280 million total. And Escondido Union School District likewise borrowed $27 million and will owe $247 million total.

 

[Randolph Kinney]

Well, yeah, we should always trust graphs that show a sudden swing trend ot a continuation given a very brief period of time. In the graph above you see "The Developed Worlds" decrease from 1960's to 1990, slight uptick 1990-1995, then down 1995-2000, flat 2000-2010 then, based on only 2 years of data, a sudden and serious exponential uptick in the projected. Um, sure.

I recall in the 1980's an instructor pointing out that there was flooding along Lake Michigan shorelines during the early 1970's to 1980's because in the late 1960's the trend for the prior 6 years was for water levels to drop so the builders COUNTED ON the drop to continue at the same rate (call it "acceleration" if you wish) and thus building owners who relied on this and had built too close to the water ended up in trouble when water levels rose in the 70's & 80's
http://www.glerl.noaa.gov/pubs/brochures/lakelevels/lakelevels.pdf

Lessons I learned:
a) don't believe any graph that gives very limited slice of time (x axis)
and
b) watch the numbers on side to see if the graph is zeroed or not (gains and losses appear much more severe and thus create stronger emotions when shown in a limited slice than from the zero (aka, a limited slice of the y axis))

I find the graph in the prior post misleading (at best).

With your talent and background, you should be working at the United Nations to straighten them out. That is the source of the data for demographics.

http://esa.un.org/unpd/wpp/index.htm


Also check out the source paper as published:


The Great Leveraging

http://www.bis.org/events/conf120621/taylor.pdf

Look at page 19. It is: Notes and sources: The dependency ratio is the population of ages 0–19 and 65+ divided by the working
age population of ages 20–64. Data from U.N. Population Statistics; see Pradhan and Taylor (2011b).

This has to do with the financial crisis and it examines how demographic shifts impact on the financial system.

The boomer cohorts in the DM world gave a boost to
savings world wide, and this trend was augmented by the start of a massive
demographic transition in the EM countries. But looking forwards these forces are
now starting to abate and will soon go into reverse as shown in Figure 7.


The DM world now faces a demographic tailwind as the boomers retire, and in the
EM world aging populations are set to grow as the demographic transition winds
down. Substantial heterogeneity lies behind these averages of course, but these
patterns presage major changes in the saving-investment balance going forward.

 

[Riick]

How the world is changing
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,
,
,
,
Gee--- I thought it showed the number of dependents going UP since John Jr. & Sister Jill can't afford apartments and have moved back home.
Wrong again

 

[Riick]

This is how cities are making their budgets now .... issuing worthless bond paper

Now Shush!
You're not supposed to use the W word, and especially not in conjunction with Bonds or Paper Money.

Remember, our currency is backed up!
Backed up by The Full Faith & Credit of the United States of America
-- and it's also backed -up by lots of 9v Batteries too.

.

 

[Big ole Boy]

Full Faith and Credit, but nobody is home .

Goldman and other peddle this trash out on the street - moral hazard right in front of everybodys face ....

... should we be disgusted ....

.... no ... not anymore ..... disgusted was an emotion that occurred when we thought the country could be saved ...

... this country is dead, dead, dead