So can someone please tell me where this £500 billion has come from?

[Callisto]

Because I don't understand. Has GB borrowed it from somewhere and if so where?

More positives:
-Those who have cash and courage can do well in this market
-This crash has been great at educating the wider public in Finance. My 9 year old is all over it!
-More well to do kids will go to state schools boosting their intake
-Opportunity to take more pleasure from simple things in life: simple food

Its OK though for me as I'm going to sort my pension out soon. A rich man.

TD, I've been thinking about what to keep and give up. I will give up for now:

Meals out,
Nights out,
Holidays.

Will keep:
Car,
10 a day habit,
a couple of botls of cheap wine at the weekend.

witcheve - there are plenty of moppets working in the city!

Remember that you can't take it (the money) with you! Time to.

How come all of this money was slushing around and yet we were less happy that the war generation?

TD, I know I met a few, went to London (I'm in the sticks) on bonus day before last Christmas, didn't spend a penny, apart from going for a pee, they were all flashing their money around. Good fun though.

Come on TD, you wern't there throughout the war years. Neither was I, but the misery they felt just wasn't comparible. We have moved on. It's not going to stop, I know, I have a crystal ball.

witcheve- Tell all.

x post, what about?

witches- Fun in the city.

A little adversity and watch the current generation panic

My mate was trying to tapp off, but for me tbh done that etc. It was a good night though but sadly no scandal. Think I'm a bit over that and too long in the tooth. Bit of a culture shock though lots of lovely Jewish boys!

"Now is not the time for fear. Now is not the time for panic. Now is the time for resolve and steady leadership. We can meet this moment. We can come together to restore confidence in the American economy. We can renew that fundamental belief ...., our destiny is not written for us, but by us. That?s who we are, and that?s the country we need to be right now.".....Obama

OMG. TD is OBL! I knew it. I hope your wireless does not let you down in the Afgan hills.

Do you want anymore women in your harem. Because I'm considering a new career.

wiches- what is OBL; sorry?

Osama bin laden!

you are very funny. the cyber cops will get me now that you have exposed my identity.

Witcheseve - yep you are totally right about people over-extending. I got rid of my mortgage really quickly by ploughing every single extra pound I had into it. I've never had loans and have saved for things. Then of course I married someone who had some money and who used to work in the city so I got good advice too.

But everyone is going to be hit by this. I just wonder what's going to happen with all these housing programmes etc. given that every local authorities in my area have just lost out with IceSave (silly sods).

If people can't afford to buy housing and the councils can't afford to build social housing, there may be a lot more Big Issue sellers in future!

It's Zimbabwe actually

Bit scary the no of councils who had money in Iceland isn't it? ££££££ms.

Yep, every single council in my county (oxfordshire) has lost millions! Today the local rag arrived and they have taken out massive ads saying how they are investing in new housing. I guess they placed the ads a few weeks back!

Charities too - you don't think of charities as major investors but of course they have to maximise their investments so they would have too. It's a shame that a cure for cancer etc. may be jettisoned because some financial advisor told them to take a chance on Iceland.

My MiL has lost £27k as well - although hopefully she'll get it back.

Would like to make the point (again) that if all asset prices fall then are we really poorer overall? The credit crisis effectively redistributes wealth. In the last decade those who had cash (and little debt) fell behind those who borrowed and bought property. Now the reverse will be true.

The really destructive part of the crisis is when sound profitable businesses run out of cash and have make people redundant. Keynes answer to this problem was to say that Govts should spend in recessionary periods in order to avoid this human wastage - better to keep people employed and collect their taxes than to pay then social security + the social fall out, he argued. Obvious risks to doing an expanding state; BIG ideological ISSUES for us to confront!

Despite a few NOMINAL losses to my asset portfolio, I am convinced that this crisis is REAL OPPORTUNITY for reflection on our economic and social order. A few critical adjustments could make our (great) country and the world a much better place? So I can't help but see the opportunities and hope that we rise to the challenge.

WWW, thanks I knew it looked wrong .

I agree ToughDaddy and the number of bankrupts is proving this to be the case. We're lucky, we can probably ride it out - certainly up to five years. And if it took any longer than that - everyone is going to be in the shit anyway!