posted on Oct, 8 2008 @ 10:06 AM
Well, I'm thinking there are two scenarios here as far as the market, and the coming "greater depression"
1) Stocks plummet, we enter into a severe recession for a few years, until the full impact of the collapse is felt (anywhere from 1 yr to 5 years).
Real estate value will drop some more, mostly because credit will be really difficult to achieve, so sellers will have to sell at a price to attract
"cash" buyers. meanwhile, various world governments set up humanitarian programs, and manage to scrape enough food and the like together to
minimize the deaths due to starvation.
or... 2) The results of the massive bailout means the government is so far in debt, there is no hope for federally sponsored humanitarian programs to
grab a foothold. starvation and disease becomes rampant, and the entire world becomes what we would consider "third world".
neither sound very optimistic, and hopefully I will be pleasantly disappointed.
In the meantime, while the markets are on their death spiral, you will see some direct impacts on your day to day life... Most companies/services are
owned by a few larger companies. if one of those major institutions goes under, you will see things disappear that you never expected. for example
AT&T, Yahoo, Southwestern bell, etc etc, are all the same company. If the parent company goes bankrupt, your cell phone or internet may shut
Anyway, hope that answered your questions without too much doom/gloom
*I think its important to state I only mentioned those companies as an example... NOT a prediction...