Forum Moderators: martinibuster
Personally, I'm really pleased. It's beyond all my expectations, considering that I don't have mega-huge sites or anything. I just hope it'll hold out for a while. *crosses fingers*
Oldskool: You are assuming a couple of things.
- That there are no compensating assets in the balance sheets of the hypothetical failed bank that could not be liquidated to absorb part of the loss.
In most countries unpaid tax, employers contributions to national pension schemes, (national insurance in the UK) etc are taken out of the assets before any creditors get a look in.
So, ironically, it may be the government taking it's pound of flesh that takes a big chunk out of liquidated assets. In fact it's not unheard of that the government dues eat up all of the liquidated assets ;)
I say down with governments ;)
(PS: I know it's OT but if this discussion is proceeding elsewhere ... please let me know where)
Macro:Oldskool: You are assuming a couple of things.
- That there are no compensating assets in the balance sheets of the hypothetical failed bank that could not be liquidated to absorb part of the loss.
In most countries unpaid tax, employers contributions to national pension schemes, (national insurance in the UK) etc are taken out of the assets before any creditors get a look in.So, ironically, it may be the government taking it's pound of flesh that takes a big chunk out of liquidated assets. In fact it's not unheard of that the government dues eat up all of the liquidated assets
Sorry for offtopic...Just a few facts. At this point 32% of total US nonfinancial debt consists of mortgage debt. And over 60% of all bank-owned assests are mortgage-related. If interest rates would rise considerably and fast (and Allan Greenspan says it is inevitable), that would hurt a lot of folks with variable rate mortgages and trigger defaults and foreclosures. Which will put all the burden on US banking system, and that will trigger some banks, if not all the system - to collapse. This gloom-and-doom scenario can happen as early as next year. No FDIC will help you there. Unfortunately, I've been a witness of this happenning in other countries, and it is not pretty.
On topic - just started AdSense, prior to this Google wouldn't allow Adsense on my sites since more than 50% of our content is in languages other than English. This month I may earn my first $10 :)