Fact: A recession happened...
But what the hell seemed to go off... well in lamens terms it seems that someone said there was such an amount of money in the world... and they lied...
But where did it start...
I would suggest that the person who invented the term credit crunch touched on a source of pure power... A credit crunch quite simply became a self-fulfilling prophecy... so thanks for that...
I remember hearing people saying... oh no I can't buy that - there's a credit crunch... I was stood behind some people at a cash point who said "I'm only taking out a tenner - credit crunch mate!" And what a snazzy term it is, sort of roles of the tongue... the alliteration really setting it off.... it's almost like it's designed to get in our heads and without us even question, make us fear it....
People who had no debt, no mortgage and no loans heard the term credit crunch and how they did tremble... so what happened... everybody whether they had debts or not stopped spending... they reined in the money like there was no tomorrow. Well the businesses started losing money and sooner or later cuts had to be made and people started having to go... People stopped being able to pay money to the banks, and well the little old banks who had given so much bad debt out in the first place to people who couldn't afford it started to panic and before long people and banks and businesses were fucked cause everybody panicked and everybody wanted to keep their little bit of gold... cause if they didn't there would be no tomorrow...
Well let me break a little news - ... if the financial structure of the world collapse tonight ... we would still wake up tomorrow... the world would not end, it would just be a little different. The US government has a plan in place in the event of a Nuclear war to allow it to still collect taxes... but if there was no money, no finances and no debt there could be no taxes....
Now this is all a very simple version of the events... and it did not hit everywhere... we only have to look to Brazil... unlike us (Great Britain) who lowered our VAT rate... 17.5% to 15% and now it's back to... oh no wait it's 20% which is like 2.5% more than it was instead of less... I wonder when that will go back...
Well in Brazil they lowered the taxes on everything from cars to fridges and houses and the public went crazy... they spent their money and the economy kept turning and no-one panicked... The recession barely hit Brazil... The banks kept steady lending... the people bought things and jobs stayed as available as ever...it wasn't just Brazil but is there any correlation between this and the fact that the best google translate has to offer as a translation of Credit Crunch is Crise de Credito... (hardly as snazzy)- Probably not but maybe with a little education, support and some real enticing benefits we might not be quite as fucked.
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