Officials: NY state could lose 40,000 jobs, $3B

Discussion in 'Wall St. News' started by S2007S, Sep 18, 2008.

  1. S2007S


    If anyone thinks manhattan real estate is going to thrive in this market situation you are crazy, manhattan real estate is going to fall EXTREMELY HARD, those penthouses and all other high end luxury condos and apartments that people are paying millions and millions for are going to collapse. You will see prices drop on average 25%, I would not doubt to see prices drop a total of 40-50% by the time its all over with. Not only that but all high end luxury dealerships around that area are going to suffer as well, restaurants, everything in NYC is going to feel the pinch do to massive layoffs and bonuses that will probably not be paid out this year. Its going to be tough on wallstreet...

    Officials: NY state could lose 40,000 jobs, $3B
    Thursday September 18, 1:03 pm ET
    By Michael Gormley, Associated Press Writer
    Projection says New York state could lose up to 40,000 jobs and $3B in taxes over 2 years

    ALBANY, N.Y. (AP) -- A new projection shows Wall Street's meltdown will likely cost New York state up to 40,000 private sector jobs and $3 billion in tax revenues over the next two years, two state officials said Thursday.

    The revised numbers in the snapshot of worst case estimates was done Wednesday at the highest levels of New York's state government.

    The projection is worse than Gov. David Paterson predicted just Tuesday when he said the state could lose some $1 billion in revenue because of upheaval in the financial sector.

    Wall Street is a major economic force in New York state, generating one-fifth of the state's revenues each year.

    The officials spoke on condition of anonymity because they weren't authorized to comment on the fiscal analysis.

    Both hits would be substantial. The total New York state budget including federal funds is about $120 billion, and the state has about 7.25 million private-sector jobs.

    State officials used the model of the fiscal damage to New York after the Sept. 11, 2001, terrorist attacks. Then, Gov. George Pataki said it was the worst financial hit to New York since the Great Depression 70 years earlier.

    The new analysis includes the stock market drop, lost revenue from transactions and projected lost income tax revenue from Wall Street jobs.

    Three of the five major U.S. investment banks -- Bear Stearns, Lehman Brothers and Merrill Lynch -- have either gone out of business or been driven into the arms of another bank. The two remaining banks, Goldman Sachs Group Inc. and Morgan Stanley, are under siege.
  2. No shock there. I expect the DOW to hit 7,000, which is half of the high. I also expect real estate to hit 50% values. Anyone tracing the overvalued markets should conclude the same correction expectation.
  3. Adobian


    Amen to this.
  4. How are recent college grads like myself supposed to compete with a grizzled Wall St. veteran that is desperate for a job that previously were occupied by college grads.

    I've been looking for a job since May and have sent out hundreds of resumes with 2 interviews and didn't get hired. One of them was a bank teller position and i have an economics degree....figures.

    If my parents didn't let me live at home I'd be completely screwed. Should i apply to McDonald's or what?
  5. What is more important to you, working or waiting for the perfect job? It seems you have the luxury to pick either one, at this time.
  6. Thanks German!

    My dream job would be as a currency analyst but i don't have the pedigree to get one of those i don't think since i've applied to every single posting i could find and didn't even get a rejection email.

    Kind of a frustrating time for both the well experienced and recent graduate crowd.

    Any advice is always appreciated.
  7. S2007S


    Its going to be extremely tough to find a job in finance over the next 2-3 years. No one is hiring and with tens of thousands of people being laid off in this area its just going to make it impossible.
  8. Mecro


    Hiring freezes are going to hit Wall Street and finance firms.

    I hope you enjoyed campus social life, cause your economics degree is worth less than a few sheets of toilet paper.

    I would suggest learning a technical trade.
  9. How is the Dow going to 7,000 when they keep kicking out the losers? Kraft for AIG?

    They'll keep changing it to keep it high to mask the true problem and to keep the public dumbfounded.
  10. Does anyone think a decent amount of these displaced "professionals" will take to trading on their own accounts?
    #10     Sep 18, 2008