The money market funds compared is an especially difficult, as the financial jugglers in the world have always been expected with many variations. Let us take only a short time after 1 World War II, when the currency fall completely impoverished people in Europe - and particularly in the loser countries like Germany and Austria. Hyper-inflation caused a mass unemployment, only by the unspeakably high reparations by the victorious powers could be offset to some extent. The money was still worth nothing, and fell in the early twenties, more and more. It had to be printed and printed to the ever-growing bundle of banknotes can also provide physically.
Today is indeed printed, but we have to fight not with a hyper-inflation, nor shall the need ever greater amounts of physical cash to have ready. Today many things going on in our computerized financial system by pressing a button. Curiously, there has never been so much "virtual" money in circulation as in the years 2009 and earlier. Experts speak that around six times more money in circulation, as notes and coin form physically present. Money is simply among the banks in the Central Banking only required little physical. Financial derivatives are usually paid by a mouse click and not even physically. Then turn off the exchanges, as happened in the fall of 2008, and real estate market collapses completely in the largest economy in the world, the United States of America, then it becomes dangerous.
The virtual money for a bank to be physically settled, because all creditors are screaming for their investment and to deduct from panic and reason for the most part want. Not only for Lehmann saw where it quickly forced to cease banking.
For days, was such a financial vacuum, which was not to end, three days later. Sun, within a very short time all bank stocks crashed in the basement. The share prices of many financial stocks are characterized today (early 2009), only a quarter or fifth of their previous term value.
over this financial crisis could be fill entire volumes. One should however be certain: will the United States of America is not now this crisis effectively to get a grip, it will come in the coming years to a much larger world economic crisis.
