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Collateralized Debt Obligations (CDOs) are risky because the wizards tend to use whatever stock happens to be the most popular at the time so they can TALK THE VALUE WAY UP using PURE RHETORIC and capitalize in that stock by using leverage.

Since so many recent IPOs seem to be risky start-ups that are not profitable the new financial ticking time bomb may blow up and be what causes the next market collapse if way too many IPO stocks have been converted to derivatives.

The Bet may already be made that causes the next collapse after the Wall Street Wizards get through manipulating.

There are citizens who believes the last Stock Market collapse and subsequent BIG SHORT by Goldman Sachs and the absurd profiteering on other investors misery is all a scam to get wealthy by going short and using manipulation and they may be correct.

The Fiduciary ethics violations will eventually lead to Federal indictments and if Eric Holder refuses he too is culpable of treason.

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What does monetization of the debt mean?

It means that money is printed and injected into the banking system such that more funds are available to pay down the national debt (potentially speaking). Even so, the overall debt ceiling usually needs to be raised - when the economy is in a downturn. The current debt ceiling is at 13 trillion plus dollars - and by January, 2011, will need to be raised (by the Congress) to 14 trillion plus dollars, in order that the U.S. not enter into default on its debt obligations (because this would cause a worldwide economic collapse - no exaggeraton here).


What effect does monetary and fiscal policy have on the automotive industry?

In a monetary system subject to interest/usury, monetary policy effectively prescribes the limitations to which all industry is subject. That is, merely to maintain a circulation subject to interest, it is necessary to perpetually re-borrow what we pay against principal and interest obligations. Payments against principal effectively then cannot pay down the sum of debt, as they must be re-borrowed back into circulation as subsequent debts equal to the former sum of debt. But as payments against interest obligations count none against former debt and are necessarily re-borrowed then as new debt above the previous sum of debt, thus the sum of debt increases in proportion to the circulation by so much as periodic interest on debt. This perpetual multiplication of debt in proportion to the circulation has numerous effects, including driving industry from countries subject to faster rates of multiplication. Servicing the multiplying proportions of debt erodes potential profit margins and forces the industries to countries where for instance labor "markets" are further disadvantaged than the labor pool of the original country of industry.


What is the economic reason for making a risky investment?

An investment is considered risky if the probability of loss is high. However, risky investments can also produce dramatic gains. So if you want to speculate that a given risky investment will pay off, you have to balance that against the possibility that you will lose some or all of the investment. That's why rash or all-or-nothing investment strategies lead to ruin.


What was national debt in 1988?

so far the national debt is $9,414,780,866,691.06 as of 18 Mar 2008 at 06:29:29 PM GMT


What is the meaning of Third World dept?

the northern sidde of the world lends monney to the southen and they cant re-pay the debt so it is called the third world debt

Related Questions

What is a collateralized loan?

when i was born so on July 30 1997


What are the names of some organizations which can help with consolidation of unsecured debt?

Obligation alleviation organizations assist you with settling your obligations so you can proceed onward with your life. ... furthermore, unstable Visa obligation can be particularly dangerous for buyers. ... You have to have in any event $7,500 owing debtors and be a while behind on your ... Merge high-interest obligations into a solitary lower program installment. affordabledebtconsolidation


Where can one get a personal debt consolidation loan in the UK?

One can get a personal debt consolidation loan in the UK at places that offer loans. Debt Consolidation is taking out a loan to pay out other loans, so any place that gives out loans would help with debt consolidation.


Why should we expect the flotation costs for debt to be significantly lower than those for equity?

Flotation costs for debt are typically lower than those for equity because debt is considered less risky for investors. Lenders have a higher likelihood of being repaid, so they require lower fees and costs compared to equity investors who take on more risk and expect higher returns.


What caused Arnold to fall so heavily into debt?

Arnold fell heavily into debt primarily due to a combination of risky financial decisions, overspending, and a lack of proper budgeting. His investments in high-stakes ventures did not yield the expected returns, leading to significant losses. Additionally, lifestyle inflation and accumulating expenses further compounded his financial troubles, ultimately resulting in overwhelming debt.


What does monetization of the debt mean?

It means that money is printed and injected into the banking system such that more funds are available to pay down the national debt (potentially speaking). Even so, the overall debt ceiling usually needs to be raised - when the economy is in a downturn. The current debt ceiling is at 13 trillion plus dollars - and by January, 2011, will need to be raised (by the Congress) to 14 trillion plus dollars, in order that the U.S. not enter into default on its debt obligations (because this would cause a worldwide economic collapse - no exaggeraton here).


What are some examples of corporations that can help with debt management?

Examples of corporations that can help with debt management include consumer credit agencies, such as Consumer Alliance Processing. Private companies such as Ameridebt and DebtShield also help with debt management.


What effect does monetary and fiscal policy have on the automotive industry?

In a monetary system subject to interest/usury, monetary policy effectively prescribes the limitations to which all industry is subject. That is, merely to maintain a circulation subject to interest, it is necessary to perpetually re-borrow what we pay against principal and interest obligations. Payments against principal effectively then cannot pay down the sum of debt, as they must be re-borrowed back into circulation as subsequent debts equal to the former sum of debt. But as payments against interest obligations count none against former debt and are necessarily re-borrowed then as new debt above the previous sum of debt, thus the sum of debt increases in proportion to the circulation by so much as periodic interest on debt. This perpetual multiplication of debt in proportion to the circulation has numerous effects, including driving industry from countries subject to faster rates of multiplication. Servicing the multiplying proportions of debt erodes potential profit margins and forces the industries to countries where for instance labor "markets" are further disadvantaged than the labor pool of the original country of industry.


What is the superlative of debt?

debt is a noun so doesn't have a superlative form.


What did Robert Morris propose to help pay national debt?

so they can be out of debt, and so they can buy land


Who is responsible for marital debt?

Both of the spouses are responsible for the debt. They both benefited from the debt, so they are held responsibility.


How do you find The risks and hazards in the school?

Do something bad and risky, and then you know that its risky so you can say its a risk. and hazards, easy school... = teachers. theres your hazard