Catastrophic Economic events WORLDWIDE-Many Countries on BRINK of COLLAPSE

WASHINGTON (AFP) - The rich world now faces its worst economic crisis in decades, the OECD warned Tuesday, as incoming US president Barack Obama prepared to outline further plans to salvage a steadily weakening US economy.

Eight million more people could be thrown be out of work by 2010, bringing the OECD area jobless total to 42 million, the Organisation for Economic Co-operation and Development forecast.

House prices will continue to fall in many countries and there is a risk the crisis has further to run, with fragile banks exposed to new bad debts, the OECD said in a report on the impact of the global meltdown on 30 its industrialised member countries.
ITALY-The Organisation for Economic Cooperation and Development slashed its outlook for Italy on Tuesday, forecasting the euro zone's third largest economy will suffer a deep recession this year and next.
Italy is already suffering the consequences of excessive public debt, it said. "With high public debt, further fiscal tightening is inevitable
USA -Two California thrifts (Downey Savings & Loan and PFF Bank & Trust) and one Georgia thrift (Community Bank of Loganville) were closed by regulators on Friday, the highest number of bank closures in a single day since the S&L crisis of the late 1980s. FDIC Says 171 Banks on Watch List from 117!
So far this year, 22 U.S. banks have failed, the largest being the $307 billion Washington Mutual.
US house prices plunge record 17.4pc
CHINA The World Bank on Tuesday cut its growth forecast for China next year to 7.5 per cent, the slowest rate of expansion since 1990, and said the impact of the global financial crisis was likely to “intensify”.
THAILAND-“Growth may go below 3 per cent next year if the government can’t function properly,” Mr Ampon told Bloomberg. “We need the government to run at full speed if we want to survive.”
IRELAND-Thousands of retail jobs in the south of Ireland could be lost in the run-up to Christmas, following the British government's planned slashing of VAT rates.
MEXICO-GUADALAJARA - After only two years of doing business Guadalajara-based discount airline Alma de Mexico has ceased operations and filed for bankruptcy.
CANADA-Canada is now in a recession that will likely lead to a federal deficit. Canada's economy is shrinking because of its close ties to the U.S. The percentage of working Canadians who use food banks is at its highest level ever, says a new report.

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