The Shit have yet to hit the fan

DBS cuts 900 jobs, reports 38% fall in Q3 profit
Posted: 07 November 2008 1405 hrs

When I make a foresight and affirm my fears upon it, it usually comes true.

My friends, many of you still do not feel the fear that grips me. Because if you do feel how I feel, you will not see this as a disaster. This is the prelude to it.

Let me reilliterate myself; I am absolutely terrified.

900 jobs are about to be gone in a poof. and .... I bet upon my roomie's erotic bass that this is only the beginning for the worst is yet to come.

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HUH>? What is going on??

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If you are puzzled on why this is happening, fret not, I will try to use the most simple way to describe what I believe to be the cause. I know that views may differ, but I do not blame this incident on the subprime loans alone. they are just the final straw.

Timmy used to work and earn money.

Timmy realised that he has enough money to pay Jimmy to do some of his work.

Timmy gives Jimmy LOTS of work and Lots on money.

Jimmy realises that he can pay Kimmy to do some work too.

Timmy soons stop working altogether as his work is distributed along the line to:

Jimmy, Kimmy, Limmi and Luppi.(more joined in)

Timmy stopped working. so no pay.

Timmy promises to pay Jimmy soon. And Jimmy promises the rest too.

Now... after many weeks.

Timmy says that he is broke and is unable to pay for all the previous work done.

Effectively, all the work that Jimmy, kimmy, limmi and luppi cannot be paid.

So basically, all the work that has been done in Jimmy's name amounts to nothing.

This void explains all the shit that is about the happen.

where are we now?

Jimmy has just gave the hint that he might be broke.

If we trust that somewhere, there is a mechanism built to manage a crises like this. Think again.
Jimmy is broke. No Calvary is coming. Some may hope that we learnt from the Great Depression.

Sorry to burst your bubble... this is far greater than it.

As we have observed:
Keynes, Friedmann, Schwartz... Your theories are failing before our very eyes.

This may not be apocalypse. But it will leave a burn mark on all our asses.