Lessons to be learnt and implemented from THE GREAT CONTEMPORARY CRISIS

for most of us this would be the biggest Financial crises of their lives ( except for Octogenarians and Nonagenarians)..........The crises started from Wall Street and spread to Main Street and whole world is now reeling under its effect ...with signs of recovery as of now inspite of Gargantuan Bailout packages by Economies across the Globe........But there are few lessons to be learnt from this crises ............in order to avert any such kind of Disaster once we recover...

1. it should be understood that if few institutiosn are so Big or Crucial or Important for a Country that those should be Bailed Out from the MESS into which they ahve landed themselves using TAXPAYWERS money then it becomes absolutely necessary that these institutions should come under lens of REgulatory bodies and not allowed to spin out of Control....

2. The Role of Credit Agencies needs to be reviewed. Sometimes same Credit Agencies also functions as Advisories to Corporates...So they give good ratings to Corporates in order to get Advisory Business from them......even though the Corporates are not eligible for high Credit Ratings........The mistake becomes even more painful when in hassle to make amends these RATING Agencies publicly threaten to downgrade thee Companies....further deteriorating their hances of raising money in this Confidence lacking lending Conditions....

3. But the biggest factor which still is denied b many in West is vast amound of Trade Deficits and CAD's which Amerca is running and correspondintly China is running huge amounts of Surpluses............

America should not allow Dollar To appreciate as thsi would make the exports incompetent and China should increase its self consumptions and stop dumping products in America..........it should not allow its Renminbi to Depreciate so much.............

The present environment is a very different situation and synchronised efforts of natinos and govt. , banks is required to pass thru these tought times and set example for future generations........