Journal (english)
With Business
Großansicht des Bildes mit der Bildunterschrift:
With Business
The Global Financial Earthquake Forces Governments To Act
Global stocks markets are in free fall. Large and small investors everywhere are losing money. In China many invested their life savings in stocks
as economic growth there took off. But even China's red hot economy hasn't
escaped the effects of the credit freeze.
European governments have been guaranteeing savings deposits to prevent a run on banks. Ireland was first but Germany and others soon followed. That's reassured savers, but the schemes only cover fixed deposits and savings accounts. Stockholders, who are not covered, are now dumping their shares in a panic. But there are countries like Brazil which are weathering the crisis quite well.
NUMBER CRUNCHER:
Bildunterschrift: Großansicht des Bildes mit der Bildunterschrift: 2,700,000 people in Germany have restricted checking accounts. Banks are obliged to open a restricted account for anyone regardless of a client's background or liquidity. That's because anyone in Germany who gets a salary, or has to pay rent, electricity, telephone or other utility bills, needs a checking account to transfer the money. But a restricted account is not a ticket to a life of financial abandon. Funds in them aren't allowed to be used as collateral for loans, and banks also aren't required to grant overdraft facilities either.
