What is Happening to the World Economy?

@2wicelot (2945)
August 5, 2011 12:36am CST
Just reading that the US stock market plunged massively and now the Asian markets are following suit. I thought after the US increased its debt ceiling so it would not default on it loans everything was supposed to be fine. Could it be because there is a fear that other countries may default on their loans? I wonder.
6 responses
@lampar (7584)
• United States
6 Aug 11
Where the major stock market plunged, our world economy remain its gradual trajectory rise, the investors may be jittered over the uncertainty of U.S debt payment, decide to wait out for more clear signs from congress before they jump right back into the DOW and NYSE. Nothing to worry so far, investors sentiment can be difficult to predict sometime, stock market jittery is not something one need to worry too much unnecessarily unless you are a stock broker or speculator.
1 person likes this
@2wicelot (2945)
6 Aug 11
Yes the stockbrokers a re really worried. But it could affect the rest of us too.
• Philippines
8 Aug 11
No need to expend worries over the stockbrokers. They earn from both ends of the market - buying and selling.
@nobbsy123 (851)
• Australia
5 Aug 11
The world economy is not in our control and we can't do anything about it. I have lost some money in shares in the down term but I am not all that worried about it. Worrying about the world economy can only lead to more problems like depression and it is unhealthy. I try not to think about it that much. We are put on this earth to reproduce and to live the global economy has little impact on that.
1 person likes this
@2wicelot (2945)
5 Aug 11
I think the governments can need to take more action and get more grip on the economy. It is really sad to see things get out of hand and people suffer.
• Philippines
6 Aug 11
Yes, this is very true. It is really hard to know what the future lies with the world economy, much like trying to predict stocks. Money and economy are only concepts constructed by men. Worrying such things really isn't living life. I also have losses with my stocks at this time. I just bear it all out as I say to myself that money isn't everything, though I still would have wanted a rise in my portfolio. But I took the risk so I take the hit on that one. The only thing you need to develop is letting go of that money if ever it declined in value.
@stephcjh (38473)
• United States
6 Aug 11
I think with raising the debt ceiling, only goes to show that America is in debt and they have no real plan to get out of it. They only plan to go more in debt until they raise taxes on everyone else to pay for it.
1 person likes this
@2wicelot (2945)
6 Aug 11
But how many times will they have to raise the debt ceiling before it is enough. At some point they have to stop raising the debt ceiling.
@maximax8 (31046)
• United Kingdom
5 Aug 11
I think that when the US stock market goes down other regions follow suit. It means that exchange rates change quite dramatically. Many countries are in debt and there is a world recession. I think there is fear that other countries will default on their loans. I keep hoping that the world market will recover. It might take years to do that so good luck to the world.
1 person likes this
@2wicelot (2945)
5 Aug 11
Sometimes I wonder who the governments owe money to and also if the governments can flex its muscle and get some of the loans written off so as to lessen the hardship on the citizens. Hope things get better.
@jazzyrae (1745)
• United States
5 Aug 11
Read revelations in the bible wether you believe it or not it will tell you exactly what's going on the world is capsizing but read it
@2wicelot (2945)
5 Aug 11
That is interesting. Hope things get better.
@francesca5 (1344)
5 Aug 11
i think it has gone down so much for a number of reasons. there are problems with the euro, as spain and italy are having problems with the bond markets. then, although there was an eleventh hour rescue of the US, when the debt ceiling was increased, there are issues over manufacturing growth in the US. it is manufacturing that was supposed to rescue everyone from recession, but the latest figures aren't very good. partly lack of domestic demand, and partly, in the uk, for certain, commodity prices have risen, because of all that quantitative easing, so manufacturing is starting to contract, clever these economists! so there is a fear that the global economy is returning to recession, and fears for the euro. and once share prices start falling, they carry on. until, of course, someone decides they have fallen far enough, and are so cheap they are worth buying again. and these are the people we rely on to keep the world economy functioning!
1 person likes this
@2wicelot (2945)
5 Aug 11
I see your point. The economist seem to be the real people in control of the economy and not the governments. If the governments had more control things may probably not be as bad.