Your English writing platform
Discover LudwigSuggestions(5)
Exact(54)
"And it's the decline in asset values around the globe".
Remember, under 33-to-1 leverage, a mere 3percentt decline in asset values wipes out a company.
One reason for the plunge in asset values is a global economic slowdown.
The combined effect was that falls in asset values cut deep into equity and triggered margin calls from lenders.
The ratings agency surveyed 20 SIVs since Nov. 7 and expanded its review after noticing "significant additional deterioration" in asset values, according to a statement.
There was no precedent for this combination of a worldwide collapse in asset values, a global run on banks and the freezing up of all credit markets.
But even in this instance, the vast increase in asset values cheap money brings has helped make richer and invariably older homeowners and shareholders richer still.
But the economic effects — a freezing up of credit, a downward spiral in asset values — are the same as those of the great bank runs of the 1930s.
So the government has put capital in the banks to add financial ballast and halt a downward spiral in asset values and lending activity.
"I don't think people have realised the danger we now have of setting up flood ghettos and a collapse in asset values, with wider consequences for UK PLC".
Measured by the increase in asset values over the past five years, the global housing boom is the biggest financial bubble in history (see article).
Write better and faster with AI suggestions while staying true to your unique style.
Since I tried Ludwig back in 2017, I have been constantly using it in both editing and translation. Ever since, I suggest it to my translators at ProSciEditing.

Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com