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Are new millionaires more likely to come about during a recession?

Discussion in 'BlackHat Lounge' started by deviatus, Apr 25, 2009.

  1. deviatus

    deviatus Power Member

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    So the theory is that in times of bubble bursts, bloated large companies are hit harder. For instance, the big banks are all having trouble, while small banks are much less effected. Less to upkeep, can adapt faster, can cut costs before-the-fact, plan for a down market etc.

    This environment is suppose to favor new start-up innovation to adapt to new and changing markets.

    What do you think?

    What methods will this happen through most commonly?

    Where does black hat factor into all of this? What will we be doing in 10 years?
     
    Last edited: Apr 25, 2009
  2. WickednDivine

    WickednDivine Executive VIP Premium Member

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    Any time there is a major shift in the economic climate new millionaires are born, and some current millionaires lose everything.
     
    Last edited: Apr 25, 2009
  3. moonbitee

    moonbitee Junior Member

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    I think this is a great issue to discuss, but you should post this in the lounge.

    Yes i think that we have entered in the final times of the actual economy era, times are changing, the united states will be no longer the country that determinates the current status of the global economy. I think that now is the time for the asians especially China to have the power in this subject.

    This change will bring cultural changes too that will make function things in different forms, and that will favor innovation and emerging business around the globe.
     
  4. deviatus

    deviatus Power Member

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    You're right. If a mod wants to move it that'd be cool.
     
  5. d3t0x

    d3t0x Jr. VIP Jr. VIP Premium Member

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    Yes, new millionaires are born and some become broke..
     
  6. crashed

    crashed Jr. VIP Jr. VIP Premium Member

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    Wow, what shocks me is the countries underneath... I think people will become millionaires out of need rather then want./
     
  7. aмillionaírе

    aмillionaírе Jr. VIP Jr. VIP Premium Member

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    Only if they work hard for it, money doesn't grow on tree and if you work the same pace you always work, you'll never be a millionaire no matter the circumstance. Certainly the opportunity is there, and the competition is "low". However this is the first recession since the Internet boom, so for us webmasters this theory may or may not hold true.
     
  8. JonesersRX7

    JonesersRX7 Regular Member

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    Need
    Want
    Deserve
    Desire

    2 of them fall under the lack mentality and will never achieve wealth. Anyone using these two will never achieve the status of "millionaire".

    Although millionaire means very little in terms of wealth. Look at the buying power of a million or 2 in twenty years. And these take into consideration a normal 3% inflation rate -- with the way we are printing money and adding to the trillions we owe other countries, I have a feeling the next 20-30 years will be very interesting. Don't confuse that with "the recession" lasting that long as that is not what I am saying. It's my opinion that the next 3 years will determine the next 30.

    Now as far as your question to will massive wealth be created in this economy? A resounding HELL F'N YEAH... look at the time period after the Great Depression.

    Where will I.M. or Blackhat methods be in 6 months.... let alone 10 years.

    - J
     
  9. ooomph

    ooomph BANNED BANNED

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    Are you resilient? If you are and you know how to take inspired action... then you will be a new millionaire in 2009 and billionaire in 2010 and philanthropist in 2011... don't sell your soul though and stay underground! :)
     
  10. blackhatcatz

    blackhatcatz Power Member

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    yep there will be more millionaires tons of people will get a 'silver lining' after being laid off, that i'm sure of :)
     
  11. secretboy08

    secretboy08 Jr. VIP Jr. VIP

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    the main problem is now tons of self proclaimed guru's will be born who will become millionaires by selling dreams to people.
     
  12. The Scarlet Pimp

    The Scarlet Pimp Jr. VIP Jr. VIP Premium Member

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    I learned something rather interesting today, the companies that are making it thru this
    tough time are the ones who established strong relationships with their partners. While the companies that are just in it for the money are very rapidly falling by the wayside.

    Two of my biggest business rivals are in financial dire straights because they both ran their
    companies solely as money-making-operations. They didn't take the time to build any kind
    of a rapport with the people they deal with on a regular basis.

    Contrariwise, my company is in far better shape than either of their's because my colleagues took the time to build up strong relationships with our partners. I'm still going strong, while they are now facing bankruptcy and foreclosure in the near future!

    It's not all about the money, folks! Remember that and you will prosper in hard times while
    others crash and burn.
     
  13. Grandslam

    Grandslam Senior Member

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    New millionaires will definitely be created during this recession, in fact, the best time to get rich is during a recession. Cash flowing assets are cheap in times of recession because the masses become fearful and sell off assets because they start assuming that the market is going to keep going down indefinitely; cheap cash flow is also available more often due in part to people in a short squeeze- they need to liquidate quickly to cover their losses in other asset classes such as stock dividends that were cut or rising rates on ARMs.

    Also, during a recession, the system automatically "cleans" itself out by allowing the foolish gamblers who invested in liabilities they assumed were assets to default or go bankrupt; when this happens the competent come in and take over the bad assets at good prices and make them efficient and viable. Basically in a free market system the competent take over assets from the incompetent.

    Its a fact that Rockefeller and Kennedy made most of their wealth during the Great Depression; they were able to see opportunity that others could not, and that's why they became extremely wealthy.

    As far as IM goes for the next 10 years, I think that it will evolve as the internet evolves. I mean just look around this forum, something new is coming out everyday. This is the information age and more and more activities will become internet based - just look at all the big department stores closing - many business models can no longer support the large overhead of renting comercial real estate for their business. It's only a matter of time before big box stores will be solely internet based.
     
  14. deviatus

    deviatus Power Member

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    Some great insights guys.

    How much do you think the average blackhatter makes compared to the average mainstream or whitehat person?
     
  15. berrycorp

    berrycorp Guest

    This is the best time to become a billionaire let alone a millionaire... Everybody will try new stuff so that they can save money.. Which they won't have done before because they dint care..

    And when try new stuff innovation goes up and innovative people with a fresh mind and a fire in the gut make money.!

    I am one person who see's opportune in recession... Its the best it can get for fresh new guys with no industry contacts like us! Aka fresh new ppl will come up and older ones will loose money!
     
    Last edited by a moderator: Apr 26, 2009
  16. ooomph

    ooomph BANNED BANNED

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    yeah... i'd have to say the most sensible is to employ black hat to fuel your white hat... so you pick up some cash on the side with black hat... whilst creating more business... links... traffic... etc... for your white hat... that's my use for it :)
     
  17. The Scarlet Pimp

    The Scarlet Pimp Jr. VIP Jr. VIP Premium Member

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    another question would be, "how many millionaires are likely to go bust during this recession?"
    people who were earning six figure incomes are now delivering pizzas door to door!
     
  18. The Scarlet Pimp

    The Scarlet Pimp Jr. VIP Jr. VIP Premium Member

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    Just found this...


    Harry Potter Magic Puts Daniel Radcliffe 12th on Young Rich List

    http://www.telegraph.co.uk/finance/...Daniel-Radcliffe-12th-on-young-Rich-List.html

    The 19-year-old actor, who is Britain's richest teenager, is now worth an
    estimated £30m and is expected to have amassed £70m by the time the
    series of films concludes.

    He is wealthier than Princes William and Harry, who each have a personal
    fortune of £28 million.

    Only F1 Championship leader Jenson Button, 29, and Newcastle United striker
    Michael Owen, 29, both valued at £40 million, are higher earning young
    self-made millionaires, according to the Sunday Times Rich List.

    The seven wealthiest people aged 30 or under have all amassed their fortunes
    through inheritance or family assets.

    Radcliffe's co-star Emma Watson, 19, who plays Hermione Granger in the film
    adaptations of the JK Rowling books, is worth £12m and also makes the league
    table of the richest young people.

    However the best-selling author has seen her own personal fortune slump by
    11 per cent from £560m to £499m, although she rose in the ranking from 144
    to 101.

    Her losses make up part of the £150billion which has been wiped off the
    fortunes of the UK's richest people in the wake of the international economic
    crisis. In just a year, the number of billionaires has fallen from 75 to 43.

    Philip Beresford, who compiled the list, said: "It is extraordinary how
    people have seen their fortunes being whittled away.

    "It is devastation all round."

    Rowling is the richest author in the world and the five Harry Potter films
    released so far have netted around £2.4bn.

    The film of the penultimate book, Harry Potter and the Half Blood
    Prince, is due for release in July, while the lengthy Harry Potter and the Deathly
    Hallows will be split into two parts in a move that should bring in millions more for
    Radcliffe, Rowling and Watson.

    Rowling has consistently refused to move to a tax haven which could have
    bumped her fortune to £600m and has given around £80m away to charity. She is
    currently the 10th richest woman in the world.

    Radcliffe made his acting debut in the BBC adaptation of David Copperfield in 1999
    and was selected to play Harry Potter in 2000. Recently he has starred in Equus in
    London's West End and has received a string of awards for best young actor.

    Also making it into the list of wealthiest young people are Wayne and
    Colleen Rooney, both 23, worth an estimated £35 million, Manchester United
    defender Rio Ferdinand, 30, valued at £30 million and Formula One Champion Lewis
    Hamilton, 24, who has an estimated wealth of £25m.

    The biggest single loser is London-based steel magnate Lakshmi Mittal
    who has seen his personal fortune drop by almost £17 billion to £10.8bn.

    Despite that, he retains his place as the country's richest man for the
    fifth year running.

    Roman Abramovich, the owner of Chelsea FC, keeps his position at second
    on the list despite his fortune falling to £7bn from £11.7bn.

    The richest British-born billionaire is the Duke of Westminster. His
    fortune, mainly based on property, has shrunk to £6.5bn from £7bn.

    Among those who have beaten the recession is the former boss of supermarket
    chain Morrisons Sir Ken Morrison who has seen his fortune rise by 11 per
    cent, making him worth £1.6bn.

    Harrods owner Mohamed al Fayed also added 17 per cent to his fortune
    which is now worth £650m.

    Peter and Denise Coates, owners of Stoke-based online sports betting website
    Bet365, have seen their fortune rise by a third. They are now worth £400m and rank
    128th on the list.