What will happen in the credit crunch?
I understand why the credit crunch has happened (banks letting money out to people who can't pay it back) but I want to know what exactly will happen: job wise, stock wise and anything else wise and whether people should be worried!
Thanks in advance!
There is going to be job destruction over the next 6 to 12 months depending on which country you live in.
Stocks seem to have reached a bottom but I would buy only very solid Companies, the ones that do not have a lot of debt and those you are buying products from and when you are buying them you can see that the shop is full.
You should only be worried if you have a mortgage and the company you work for is going through financial difficulties otherwise you should be looking for opportunities (real state, stocks)
Pd: Inflaction may come back with the huge amounts the governments are going to spend so put your money somewhere it produces returns.
Pdd: excuse my english, I am still learning it.
One Response to “What will happen in the credit crunch?”
There is going to be job destruction over the next 6 to 12 months depending on which country you live in.
Stocks seem to have reached a bottom but I would buy only very solid companies, the ones that do not have a lot of debt and those you are buying products from and when you are buying them you can see that the shop is full.
You should only be worried if you have a mortgage and the company you work for is going through financial difficulties otherwise you should be looking for opportunities (real state, stocks)
Pd: Inflaction may come back with the huge amounts the governments are going to spend so put your money somewhere it produces returns.
Pdd: excuse my english, I am still learning it.
Comment made on March 9th, 2009 at 11:32 amReferences :
Economic papers and my economic studies.
Leave a Comment