georgephillip
Diamond Member
- Thread starter
- #421
"What Was the Real Cost of the Great Recession?of course thats absurd. Many of the major companies went bankrupt.
by Andrew Sheng on August 19, 2013..."
"The above study supplemented an important piece of data released through the latest Fed Flow of Funds tables, which revealed the changes in net worth by sector.
"The data showed that the household sector lost US$12.7 trillion in 2008, mostly through the decline in share prices and real estate value.
"The business sector lost US$1.6 trillion in 2008 and US$6.1 trillion in 2009.
"The government sector went into deficit by US$0.7 trillion in 2008, and has lost roughly US$1.3 to US$1.5 trillion yearly since then.
"How much did the financial business sector lose?
"Its net worth rose US$1.6 trillion in 2008, lost US$0.7 trillion in 2009 and US$0.5 trillion in 2010, and was in the black again by 2011.
"In sum, almost everyone lost during the financial crisis, with households losing most, but Wall Street lost least. The reason is that its losses were covered by capital injection by the corporate and household sector, and there was huge government support. No wonder there was an Occupy Wall Street movement."
No wonder Goldman S. donated over $900,000 to Obama's 2008 campaign.
What Was the Real Cost of the Great Recession The Institute for New Economic Thinking