 abailart says: These new regulations require banks to show how much cash they actually have. Very inconvenient. As with all recent economic concerns the worry comes not from screaming lefties, greenies etc but from sober, conservative economics commmentators. Time to buy a caravan. Technically it does not require them to show how much "cash" they have. If you want to say liquid assets, that would technically be more correct. Ultimately, in the long run FAS 157 and FAS 159 are good reforms that will provide investors with clearer pictures of what comprises companies assets and liabilities. These are called fair value measurements. This is what stocks and bonds (and other assets and liabilities) can be traded for today. In the past these items were revealed at their historic cost which has no bearing on what they are worth today. Personally I don't think this is going to cause a long term problem. In the long run it will help dampen risky investing which is the root to... That is very possible, bobby. A lot of analysts are saying the same - that adjustment, clearing mess, even recession will be good in the long run. From the point of view of individual finance in the short term rather than global stability in the longer, i do feel it is important that people know there may be rocky times coming soon so they can make prudent investment and other financial decisions. |
View the Top Clips from November 12, 2007
Embed This Clip In Your Site...
|
||
|
|
|||
