Zou Yixiang: 24 hours might end the whole world financial crisis, but ...... -china Product-Zou Yixiang: 24 hours might end the whole world financial crisis, but ......

Financial crisis's pathology is very possibly complex, but the medicine only then constantly, that is “the cash”, or, increases the money supply. The Federal Reserve “the quantification loose monetary policy” the direction is to, but the purchase mortgage negotiable securities are not the most direct effective method, the most direct effective method is purchases the bank breaks for (customer not to be able to pay mortgage) the real estate, this is to the bank biggest support, is also to the real estate market biggest support. US's real estate market is the financial Tsunami place of origin, so long as the real estate market has stabilized, the money market stabilized. The Federal Reserve has ability stable real estate market absolutely, because it may print the bill, and does not need Congress to authorize. The reason that it does not have such to do, is only because before has not done-----The American also needs to emancipate the mind.

American tradition monetary policy implementation, mainly through open market operation, but in open market operation “market”, what refers to is the money market. In the custom, one year time following bond belongs to the money market, one year time above bond belongs to the capital market. When the Federal Reserve must cut rate, it the purchase short-term bond emits the cash in the open market, otherwise, interest on futures time sells the short-term bond re-steaming cash. The American law had not stipulated that the Federal Reserve must increase or the reduction money supply through what way, therefore, it may also buy the long-term bond, may buy the mortgage negotiable securities, may buy the stock, may also the purchasing homes real estate. In fact, the Federal Reserve already prepared 500,000,000,000 US dollars to buy up the mortgage negotiable securities in the open market (this was unprecedented), and had already made certain progress, reduced mortgage negotiable securities and the bank mortgage loan interest rate, lightened many house-owner's burdens, also from alleviated the speed which the real estate market slides.

Zou Yixiang: 24 hours might end the whole world financial crisis, but ......

Because the question lay in the US already to have about 2,000,000 sets () the housing the owner to break for by the bank confiscation, the bank is been impossible to have these houses, must auction in the market, but auctioned the result was the real estate market further falls. Some people estimated that if the real estate market continues to fall 20%, the US will also have 10,000,000 sets of housing to degenerate into the negative assets, by the bank confiscation, but these 10,000,000 sets of housing must auction in the market, but will auction the result will be the real estate market further falls ......When the investor saw this vicious circle when consequence who will go to buy the building? When the investor saw this vicious circle when consequence who will go to buy the stock? When to flushes the fund to see when this vicious circle consequence, how can buy the spatial bank stock not wantonly? Therefore, the American Bank's stock price falls from more than 50 US dollars to three spot several US dollars, therefore the American Stock market and the real estate market innovates lowly unceasingly. When the stock market and the real estate market innovates unceasingly is low, the economy how can not decline? The economic recession natural enterprise must reduce staff, the unemployment storm increases the nature causes to break for the house to continue to increase------Between the bank and real estate market's vicious circle brings between the real estate market - stock market - economy the vicious circle, US's vicious circle causes American and between the European Japan and the developing country again international big (malignancy) circulates------This is the current realistic situation.

The US government saw certainly this kind of situation, therefore, the left 700,000,000,000 plans, the right 8000 hundred million plans, in addition the Federal Reserve 500,000,000,000 (purchase mortgage negotiable securities) planned and 1,000,000,000,000 (loan) plans, the total already surpassed 3,000,000,000,000 US dollars, this also not including fermentation in “bad account bank” plan. However, the market does not show respect for somebody's ability completely, because all these plans all add, still could not solve the real estate market internal vicious circle problem: The owner should break for will break supplies, government's subsidization only will be lengthens the time points; Bank this auction will auction, only will be the auction speed slow spot; The real estate market should fall will fall, is only the speed which falls postpones a spot. Such being the case, the latent real estate investor can certainly wait for one and so on, stock market's investors certainly to walk for on counts. Luojiesi even believed that should all sell out including US dollar, his reason will be rescues the city plan to further increase US's debt, will be for long term more disadvantageous to US dollar.