“A bit of hyperbole... That $40 billion in 1984 would be $82.4 billion in 2007 dollars. If we survived the (in 2007 dollars) $82.4 billion bank failure in 1984, I think we can survive one that’s not even 40% of that value...”
Good point...
But, the question is: How much more is there to come?
After all that has already come...
I believe the debt the U.S. government has and the banks on shaky ground is why you will see the Dow go down to about 9000—maybe lower...
Follow the money...
Appears that you "zero" key is stuck -- repeating
Probably a lot. Which is why it's VERY smart to diversify your funds offshore. Spread it around, and use the exchange rates to your favor.
Note that the Shanghai stock exchange has lost 50% THIS YEAR, yet the economy in China is still roaring along (and will continue to do so). Emerging markets either emerge and grow quick or slow, but the fundamental truth is they grow.
A collapse in the US will shut them down right quick, but I doubt we'll collapse. We'll probably sputter to a slower pace, and start deflating (a la Japan in the 90s). That will slow down China and India from blistering 10% paces to 5-6% paces, but that's still healthy when your own economy is doing -2% to 1%.
For the cost of a single round trip ticket to Hong Kong, you can be diversified in 10 currencies, and move your funds between them as needed. And access your funds from anywhere in the world.