Wall Street's gold "scattered" the New York economy "collapsed".

<P> 3 19, the New York Stock Exchange, a busy scene. .Day, the New York stock market fluctuated, the three major indexes surpassed 2% decline Zhong Pan, in which the Dow fell nearly 300 points. .Xinhua News Agency reporter Hou Junshe </ P> <P> but the "Barron" that the United States next year, big banks and investment bank's share price is expected to rise 10% -20 %--</ P> <P> financial industry has always been in New York .City of the richest industries. .Revenue in the financial industry workers in New York City, all 23% of the total personal income, taxes paid by New York City accounted for 27% of all taxes. .Now, a large number of unemployed financial workers in high-income, one can imagine that they often go to consumption, boutiques, restaurants and entertainment business will light a lot. .In addition, will also affect including drivers, real estate brokers and other service providers working income. .</ P> <P> It http://finance. News, the Wall Street financial institutions, job cuts in progress. .The brink of bankruptcy last week, U.S. investment bank Bear Stearns has announced plans to half the current 14,000 employees laid off. .And in January announced it would lay off 4,200 employees of Citigroup, last week announced further job cuts trading and investment arm of 2,000 people. .In addition, there is news that Goldman Sachs Group is planning to cut its capital markets up to 15% of the staff, at present, the company's approximately 30,000 employees. .</ P> <P> according to the Chicago employment consulting firm Challenger, Gray & Christmas estimated that the first two months of this year, New York City and the sub-prime mortgage business in the workers, at least 1.27 million people unemployed. .New York City Independent Budget Unit IBO is estimated, the next two years, the financial industry in New York City is 2.1 million people unemployed, this is the most conservative estimate. .According to U.S. media reports, dragged down by the subprime mortgage crisis, Wall Street is facing a serious financial losses and significant layoffs. .Economic prosperity of the New York City and municipal tax situation in the financial sector is extremely important to the poor will impact all walks of life in New York City. .</ P> <P> financial sector is to pay the price for the foam </ P> <P> heavy losses suffered by U.S. financial industry is not the only cuts. .Following the Bear Stearns sale to JP Morgan Chase super cheap, the international rating agency Standard & Poor's Goldman Sachs and Lehman Brothers turn the rating outlook as negative because the investment bank earnings are expected to shrink this year, three percent. .S & P said in a statement, the Fed cut interest rates last week, slowing the relief operations of the financial market liquidity problems. .Nevertheless, capital market turmoil and the appearance of the rapid deterioration of the economy, are making the financial Goes affected. .</ P> <P> British "Economist" magazine predicted that the former Wall Street "gold mine" of the stock price will fall further 50%. .Next few years, the global financial industry will face the fate of stagnation or even decline. .The magazine carried an article saying the financial turmoil, the risk of investment banks are particularly vulnerable. .Because investment banks do not take deposits, totally dependent on short-term borrowing from the market. .If the increased liquidity risk, Goldman Sachs, Merrill Lynch, Morgan Stanley and Lehman Brothers investment banks bear the brunt. .</ P> <P> Last week, the Wall Street major investment banks are trying to prove its "deep pockets" side, to eliminate investor concerns. .Lehman Brothers said that he's holding company 640 billion in assets, you can always take the cash collateral. .Morgan Stanley adjusted its strategy to reduce the proportion of overnight short-term loans, cash in the hands 45% more than last year. .Goldman Sachs also reduced the proportion of short-term loans. .</ P> <P> However, the "Economist" that now the entire U.S. financial sector is the lack of fundamental support since 2000 to pay a financial bubble. .The regulatory gaps, one year short-term maturity of financial assets do not require provision of capital, resulting in the hands of these investment banks once held by the provision for losses of financial assets, and very quickly eat up capital. .</ P> <P>.