[Samurai]

Originally Posted by download2live

I still fail to understand how US totally failed on this. Is this some conspiracy by/against Trump? This is election year after all and political parties would like certain outcomes out of this.

Or is it rot within US political/healthcare system getting exposed.

Well, there will be many books written on this debacle someday. However, I will give you few main points why it happened.

1) Trump thought he could talk his way out of Coronavirus crisis, just like he successfully talked his way out of every scandal since 3 years. So he spent the first month just denying and calling it a hoax created by democrats to discredit him, he even blamed Obama. Fox News as usual helped him in building this narrative.

2) Trump had systematically weakened the ability of USA to preempt such events. He had reduced the budget to CDC as well as dismantle the white house pandemic task-force in 2018.

3) Republicans are big on state's rights, and very suspicious of orders from the federal level. Some go to the absurd level of arguing that the 19th century Civil war about state's rights and not about slavery. So a republican president will be very wary of ordering anything at federal level. Therefore, each state has to decide what they want to do about Coronavirus. States run by democratic governors acted fast (because they didn't trust Trump), but states run by republican governors didn't think it was serious because they believed the Trump propaganda from point 1.

[SmartCat]

Originally Posted by adithya.kp

I think the assumption is that RBI will protect depositors in all public and private banks. But till now we have had only 2 cases in last 2 decades. Global trust bank and Yes bank. What if more banks get into trouble?. Can they handle?

In theory, yes - RBI can protect all depositors in all banks. But with every bank rescue, there will be consequences in the form of high fiscal deficit, country rating downgrades, flight of foreign capital, currency depreciation, high inflation and so on.

In a troubled bank, depositors actually need protection from other panicky customers. Troubled banks risk failure when many depositors want to withdraw at the same time. That's why RBI forces these banks to immediately implement withdrawal limits. These limits are eased later since panic always subsides with passage of time.

[rohitoasis]

Thought of sharing this here.

https://www.youtube.com/watch?v=wUUWoN4LKuE

[AZT]

Spain is starting to implement a form of Universal Basic Income.

Read more : https://www.bloomberg.com/news/artic...ic-income-soon

[GTO]

KPMG shares a report "Potential impact of COVID-19 on the Indian economy".

Download full PDF here:

[akhil_007]

Originally Posted by AZT

Spain is starting to implement a form of Universal Basic Income.
Attachment 1989509
Read more : https://www.bloomberg.com/news/artic...ic-income-soon

I think it's a click bait headline. It was a proposal from a person in opposition party. This is not gonna happen.

[m8002?]

And in India the govt. is thinking of reducing the pension. I am really hoping this option was discarded and they dont implement it. Even better, it is fake news.

https://news.rediff.com/commentary/2...2021c82413a5a1

[adithya.kp]

I guess this is based solely on the balance sheet size.
Here is the size of the balance sheet (standalone) before the PSU merger last week. For reference, RBI balance sheet is 41 lac crore.
SBI 37.49 lac crore, HDFC 13.95 lac crore, ICICI 10.07 lac crore. That explains it.
After the merger, here is the order of the largest banks. ( I mean in terms of balance sheet size. Not necessarily in terms of quality of book)
SBI, HDFC, PNB, Bank of Baroda, Canara, ICICI.

Originally Posted by Traveler

RBI maintains a list of banks that are considered to be very important and that cannot be allowed to fail. They are classified as D-SIB banks. Please see https://m.rbi.org.in//Scripts/FS_Pre...=46553&fn=2745

An easier explanation to the above is here https://www.business-standard.com/ar...1500019_1.html

[AZT]

Originally Posted by akhil_007

I think it's a click bait headline. It was a proposal from a person in opposition party. This is not gonna happen.

Nope. Not sure what made you say that.

The Spanish government is working to roll out a universal basic income as soon as possible, as part of a battery of actions aimed at countering the impact of the coronavirus pandemic, according to Economy Minister Nadia Calvino.
Social Security Minister Jose Luis Escriva is coordinating the project and plans to put some sort of basic income “in place as soon as possible,” with the main focus on assisting families, Calvino, who also serves as deputy prime minister, said in an interview Sunday night with Spanish broadcaster La Sexta.
But the government’s broader ambition is that basic income becomes an instrument “that stays forever, that becomes a structural instrument, a permanent instrument,” she said.

Read more: https://www.bloomberg.com/news/artic...ic-income-soon

[hserus]

Originally Posted by AZT

Nope. Not sure what made you say that.

Read more: https://www.bloomberg.com/news/artic...ic-income-soon

Because it was a proposal from a much laughed at leader of a large Indian opposition party as well, and a lot of people suddenly turned into economics experts and began coming up with detailed explanations as to why this was ludicrous.

At this point I think there is genuine shock that a European economy would even consider adopting something that was once proposed by that chap.

[Romins]

Here is a sneak peek into global economic reactions to corona crisis.

Global economic policy response to coronavirus crisis

[locusjag]

Will we see used car prices in India spike up for the next 1 year?

Experience tells me that would be most likely. I had to shell out $15,000 for a used car in 2013 that would have only cost me ~$10,000 in the pre-2008 US used car market. The supply of used cars into the market was hit after the 2008 crisis hit the market when people began holding onto their cars and avoiding trading up to newer cars.

Indian car owners should similarly hold on to their existing rides and shelve any plans they had to trade up or upgrade to newer cars. This should send used car prices up in the near to long term, until 1 year at least.

(The underlying assumption in this is that for some reason, demand for used cars stays constant, no matter what the state of the economy is. I find that unfathomable, but this does seem to be the case.)

[nandadevieast]

Any idea what’s the ranking in terms of health, NPAs etc.?

Originally Posted by adithya.kp

I guess this is based solely on the balance sheet size.
===
Not necessarily in terms of quality of book)
SBI, HDFC, PNB, Bank of Baroda, Canara, ICICI.

[raksrules]

I have an ongoing home loan with Bank Of Baroda. Today I got this SMS from them..

Auto debits towards your loan EMI/Instalment/Interest has been deferred up to May'20. If you wish to continue payments, SMS "C" and for refund of already deducted amount from March 20 onwards, SMS "R" to 8422009988 from registered mobile

Does this mean they have by default deferred loan payments and if I still want to continue paying loan amount, I should send reply as "C". Wasn't it like we can chose NOT to pay and defer payments for 3 months but here it seems they have by themselves deferred it.

I believe that there is no benefit of skipping loan payment right?

[adithya.kp]

To be honest, I dont know.
But my ranking (In that order) would be Kotak, HDFC, ICICI, the rest. But this is my personal opinion only. Please take it with a pinch of salt.

Originally Posted by nandadevieast

Any idea what’s the ranking in terms of health, NPAs etc.?