Sir - for your longer posts, I would say one word from the start of my previous post will suffice, i.e., 'PREDICTION' --> FORECASTS that may or may not happen.
**Sir as you wrote: "poor MATHEMATICAL CALCULATIONS to suggest"
i) In my case, I am not 'SUGGESTING' to anyone, in fact in the start of this threads I expressed my views about attaining real estate rather than cash. Here I am just 'EXPRESSING' the alternative view that is a reality and that reality has grown by 12.1% in its values over last 100 or so days.
ii) Death as a natural phenomenon can get anyone/anywhere/anytime. Still people like to predict, manage and calculate life decisions for years in advance.
**Your sentence "PAPER MONEY EVENTUALLY RETURNS TO ITS INTRINSIC VALUE- ZERO"
i) Complete words/context is a must to state the facts, otherwise that doesn't lead to anything meaningful. It may happen in Socialism, perhaps and in barter system but not in Transaction driven environment.
ii) If you Domestic production becomes zero your currency can crash to 0, not otherwise.
** Your sentence "WHY was 2008 recession not predicted that dashed the world economy to ground?"
i) Simple fact should not be missed that not 100/100 times economic growth is proportional to strong currency. China also devalues its currency to get increased exports that strengthens its economy & exports.
ii) For your information, people did predict and googling helps. At-least one example, I can share with you.
EU was the one that was badly hit due to the fact that EU tried to manage almost all major EU states, despite different economic dynamics, with a single currency, i.e., EURO. As a matter of fact, it must be a basic sense recession does not just happen on daily utilized goods and services it hits real estate too like many other sectors. In the EU due to the recession one of the badly hit sector was 'REAL Estate'. A simplest example, the room on rent for EUR 450 - 490 a month was down to 325 a month in 3 months time and house on sale for 2.5M Euro was down to 2M in about 6 months time. People were unable to pay even their mortgages due to unemployment and rising interest rates. In Spain (one of the worst hits of recession) some were unable to pay mortgage and retain their properties and a few even committed the suicide. I mean isn't it a common sense too that when economy shrinks so does the real estate investments/prices. I am yet to see a single example where recession is happening and real estate is growing, if there is one would be good to analye that.
** Your sentence "What if the $ sinks in couple of days or weeks? How would you weigh your realty then in Pakistan?"
i) What is if doesn't? and
ii) CASH (in USD) is the word that suggests it is the most liquid asset in the world. Its not going to crash overnight. IF and whenever it starts to happen just utilise it/exchange it. For example, I wanna get rid of USD I can get up and go to any good/service provider to exchange my dollar for some asset or service. Real estate is not that liquid as of now.
Unless Petro-Dollar relation and international transaction in USD are declined USD (fortunately or unfortunately) will flourish...
In this forum, based on my limited knowledge, I have favored for both REAL ESTATE vs CASH (in USD). The reality is in last 100 days USD has grown by > 12%, I am not sure if the local real estate has made such growth across the board. Reality cant be denied.
I would like to know, where exactly are ''poor MATHEMATICAL CALCULATIONS'', any specific example?
I try my best to put forward figures and facts with an open acknowledgement that these are personal views and I stand corrected on them based on facts/figures but definitely not on just some random words/statements :)
169 days ago