The biggest issue next year in the American economy will be jobs. Not credit, not consumer credit. Our economy doesn’t rest on consumer spending. No! It rests on jobs. We’ve been careless and shipped them overseas. We’ve let the CEOs follow their bliss (profits) and they’ve managed to drag our economy over a cliff.
There was [...]
The United States is but one example of the problem. The U.S. is a major destination for Chinese goods. As consumers in the U.S. pull back on everything from TVs to automobiles to clothing to electronic gadgets, overseas manufacturers must adjust to the diminished demand. And just as the U.S. auto industry has no “Plan [...]
A loan is not a bailout to a company with nearly $500B in assets. This would merely move any government loan to the top of the debt priority. It would be repaid in spades whether the company succeeds or not. With the restructuring moves GM has already made, any upswing in the economy moves them [...]
Hulbert says that this(deflation) improved returns on the stock market. That, however, is not correct. The alternative to the stock market, at that time, was simply holding onto cash, or platinum, or other precious metals that were not confiscated by the government (as gold was). You would have been MUCH better off in cash during [...]
1,Failure of the bailout.
First, the $700 billion rescue for the economy was about buying devalued mortgage-backed securities from tottering banks to unclog frozen credit markets. Then it was about using $250 billion of it to buy stakes in banks. The idea was that banks would use the money to start making loans again. But reports [...]
Most Americans have come to accept the simple truth that we have eroded our national wealth by consuming far more than we produce. With this understanding taking hold, and with the severity of the financial crisis spreading, government has an opportunity to radically change course to put the nation on a different economic path. But [...]
Please take the time to read this, then re-read it again, and think about the direction of all the infomation. I apologize for the length of the post, but with information comes strong decisions. Make sure you read the last paragraph if you want to skip the rest.
I wanted to have one coherent post [...]
I always feel so much better about my economic world after Ben, Hank or George say something astute in public…they inspire so much confidence after all 3 denied there was any problem until the bomb went off. Keep talking boys, maybe someone, somewhere, somehow, who doesn’t know any better, will listen and believe.
WASHINGTON (MarketWatch) — [...]
The US government’s debts have ballooned so badly the National Debt Clock in New York has run out of digits to record the spiralling figure.
The digital counter marks the national debt level, but when that passed the $10 trillion point last month, the sign could not display the full amount.
The board was erected [...]
The U.S. economy is already in recession — and may echo the 1930s, Nobel Laureate Joseph Stiglitz said Friday.
“The big question is: how will the government respond?” said Stiglitz, in an interview with CNBC. Stiglitz, a Columbia University professor and 2001 winner of the Nobel prize, detailed his bleak outlook for the American economy.
“This [...]
Democrat Blames Iraq War for Weak Economy, Wants Money Directed to Pressing Needs in US
By Will Lester
WASHINGTON (AP) — The growing cost to the United States of fighting the war in Iraq “is not only linked to our economic skid, but is a leading cause of it,” a Democratic congressman said Saturday.
Rep. John Yarmuth [...]
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