Commercial Economy Hard Money

Commercial Economy  Hard Money

Merriam Webster Online Dictionary Defines Hard As

1 a Not readily penetrated Not easy to give pressure b cheese Can not spread Very firm.

2 a of alcohol 1 Has a hard or sour taste 2 strongly alcoholic b characterized by the presence of salts such as calcium or magnesium that prevents soap winding, ie hard water.

3 a of or related to radiation with relatively high penetrating power have high energy hard X rays b to have or produce relatively large photographic contrast, ie hard negative.

4 a metallic that differs from hard paper b of currency convertible to gold stable in value c useful as currency, ie paid in hard money. d of currency easily acceptable in international trade e be high and solid, ie hard prices.

5a fixed and distorted, ie hard threads. b Have a smooth, close, napless finish, ie a hard frame.

6 a physically fit, ie in good condition. b resistant to stress or disease c free from weakness or defects.

7a 1 Fixed, ie a hard contract. 2 not speculative or constructive actual hard evidence 3 important or informative rather than sensational or entertaining, ie hard news. b close to the search, ie a hard look. c Free from sentimentality or illusion realistic ie good feeling. d lacking responsiveness obdurate unfeeling ie a hard heart

8a 1 Hard to bear or endure, ie hard hitting or hard times. 2 oppressive uneven, ie sales taxes are difficult on the poor.

9a Characterized by sharp or hard contour, rigid design and rigid drawing b Sharply defined sharp ie hard shadows.

10a 1 Difficult to achieve or solve difficult, ie hard problems.

As used in this article, it is difficult to convey the idea that, due to the current economic conditions, many funding needs will be more difficult to achieve. They will require great effort and effort to overcome the economic barriers to the current economy. Compared to 2006 and 2007, periods of relatively easy money, to get funding today, you must have solid, concrete facts to support your financing needs. And the cost of money becomes harder to bear. Hard money is harder to find, harder to get and harder to repay. Nevertheless, hard money can be an economic necessity as a means to stop growing a business or completing a real estate business.

Why is 2008 a time of hard money? This is a difficult question to answer. If you ask 3 experts, you probably get three different answers. It may be the economic equivalent of The Perfect Storm a true story of men against the ocean. The term perfect storm refers to the simultaneous occurrence of events that would probably be significantly less powerful than the result of their rare combination. These events are rare by nature, so even a slight change in an event that contributes to the perfect storm would reduce its overall impact. The stock market crash in 1929 and the following depression exemplify a perfect storm of economic consequences.

What are these events today? 1 Mortgage Meltdown. The major financial institutions in the United States suffer from billions of dollars in losses due to the loss in the valuation of their mortgage investments. The consequence for borrowers is that these institutions are less likely to take risks when lending money for fear of additional losses. And their regulators demand that regulated lenders raise their credit standards for borrowers to qualify for a loan. 2 Devaluation of the US dollar against other world currencies. The US government spends huge sums of money over what they collect in revenue because of the political compulsion to spend taxpayers money, the war in Iraq, Hurricane Katrina and other natural disasters and the war on terrorism. This makes our currency less valuable. This makes imports to the US more expensive. The American people have less money to spend on goods and services, and the money buys less than a year ago because the prices of necessities such as gasoline are higher. 3 The federal and state governments tend to reduce funding for social services, health services and education due to insufficient income. This hurts people and businesses who have less money to spend on products and services that create further features in our economy. 4 Decreasing value of residential properties across the United States. This is related to the mortgage countdown and the fact that many people have recovered debts that they can not pay back. The real causes of these events are complicated and beyond the scope of this article. Suffice it to say that these are difficult times and difficult times create the need for hard money.


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