Quote:
Originally posted by Yorick:
Silver, you're not exactly correct there. American investors (mainly groups, not individuals) pulled out of US companies, and invested in European companies because of the perception of Europe as safe, and that is is independant of American fluctuation. Things are very different to the great depression when America down, meant the world down. The Euro has also been rising independently of the US (and the Aussie) dollar.
Ryanmur, I think you're missing the things the goverment is doing to help stabilise the airline industry, and the economy as a whole. The focus has been far more than just Bin Laden.
Just the other day Bush announced measures to increase air security from Air marshalls, stronger doors, federal training for security etc etc. This was publicly announced to increase confidence in air travel - the lack of which is responsible for the airline industries' dire situation. Couple this with bailouts and packages to bolster the industry, a huge funding package to rebuild New York, dropped interest rates, public encouragements to visit the theatre and live how you normally would, and you have a government very concerned with getting the economy back on track. To claim no realisation on their part is an error.
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Sorry Yorick, perhaps I wasn't clear. I'm talking about countries such as Bulgaria, Vietnam, Taiwan etc who export a huge amount to the Amerian market. Some American companies have had to suspend contract renewal to their suppliers/manufacturers based in developing countries, as a result of the current uncertainty about the American and global economy. (I'm talking about textiles and garment trade here, but I'm assuming other sectors are similarly affected). What I'm saying is that some of companies affected are having problems as a result of what has happened, and some may go out of business.
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