We are in a down turn. We are not in an offical recession, but some areas and some sectors are feeling recession like effects. A classic definition of a recession is most people don't see a problem, as only the unemployed are really affected. On the other hand inflation affects everyone. I'll be shocked if we manage to get the economy moving the right way again and reign in inflation.
I believe that the problem is worst than what people think. The government and its agencies are the last ones who will tell us how it is. There's no incentive for them to do so.
Clearly, if gas and diesel were at $1.75, and if the government managed the budget 1/2 right, there would be NO talk of recession, or "sky falling".
As long as we keep saying that the government cannot do anything about it,....guess what?
I'm totally convinced, the high/higher cost of fuel, plus the high/higher taxes, is what will bury me,....a pauper.
Willie & Betty Sue
Miko & Sparky
2003 41 ft Dutch Star Diesel Pusher/Spartan
Floorplan 4010
Blazer toad & Ranger bassboat
This kind of stuff is interesting. If you look at the economy over the past 30-100 years this one is doing really well. We have just come off a roller coaster high that needs to correct itself. Just like the dot com boom in the 90's, and then crash, we were on a real estate boom, and now crash. Add government interference in the economy and you have worse problems. Some folks out there remember what a real depression feels like.
Gas is still cheap. Compared to years ago (1975) and rate of inflation, it should be close to $6/gal right now. We were lucky to have about 10 years of almost level cost of gas back in the 80's and 90's. Those who recognized this are the ones driving the cost of oil, the speculators. They are buying up oil and oil futures knowing that the price will still be going up for a while. So, in a couple of years there will be an oil 'crash' when all those investors who got in the game late lose their portfolios because gas demand drops (or levels off) and prices go with it.
Our rate of unemployment is so low most other countries would love to be in our shoes. Yes, that's why our jobs go overseas, cause unemployment there is so high that wages are driven to nothing. Add to that the tax structure in the US and a lot of companies will send stuff overseas. In the past this kind of thing was controlled by import taxes (it was too expensive to make stuff overseas to sell in the US), but, over a number of decades those have been cut to almost nothing by our politicians who wanted to curry favor with one country or another. At the same time other countries have increased their import taxes making US products more expensive, leading to an imbalance in US trade and the dollar.
Then there is the manipulation of interest rates. Based on the level of unemployment the interest rate should be in the 7-10% range. Instead it is being held artificially low. It has driven the dollar to a level I haven't seen since the 70's.
Yep, things will probably get a bit worse before things level off and we start back up again. I believe that the more the gov't messes with it, the longer it will take to get better.
Right now, if you pick and choose carefully, you can set yourself up to make money over the next several years as portions of the economy start to pick back up. If you were one to lose a job for one reason or another, find the part of the economy and area of the country where things look better and go for it. I've been through two 'downsizings' and moved/change job specialty to get through it. I kept reminding myself that "whatever doesn't kill you makes you stronger."
charlie
2006 Toyota Tundra Crew Cab
2003 Skyline Nomad 24ft Fiver
There is more traffic everywhere. People don't seem to be slowing down at all.
I'm running around so much going to appointments because they want a bid/ price, I can't get anything done at the jobs I do have going. Have clients waiting for me. Job requests are getting higher quality, more expensive products etc.
paztruck wrote: I think alot of it is the media hype much like the global warming. JMHO
I will second this thought. The media makes WAY too much of some things and causes panic that does not need to be there.
The housing market is in self-correction mode. Those banks that made bad loans are paying the price. People who bought houses that they couldn't afford are paying the price. It's unfortunate and I wish that no one would lose their home at all but 0 down loans with no income verification on a house that is hundreds of thousands of dollars higher than it should have been - self-correction in the real estate market is bound to happen. Expect another wave in a year....
Global warming - don't even get me started. Those that STUDY global warming say it is naturally occuring AND they've also said this last week that the earth will be going through a "cooling process" that will last several decades and is also NATURALLY occuring.
I think those in the media need to get a hobby and do something with their lives - they are apparently bored and feel the need to cause trouble
paztruck wrote: I think alot of it is the media hype much like the global warming. JMHO
I will second this thought. The media makes WAY too much of some things and causes panic that does not need to be there.
The housing market is in self-correction mode. Those banks that made bad loans are paying the price. People who bought houses that they couldn't afford are paying the price. It's unfortunate and I wish that no one would lose their home at all but 0 down loans with no income verification on a house that is hundreds of thousands of dollars higher than it should have been - self-correction in the real estate market is bound to happen. Expect another wave in a year....
Global warming - don't even get me started. Those that STUDY global warming say it is naturally occuring AND they've also said this last week that the earth will be going through a "cooling process" that will last several decades and is also NATURALLY occuring.
I think those in the media need to get a hobby and do something with their lives - they are apparently bored and feel the need to cause trouble
Wow! So finally some other smuck gets a piece of the pie. Good for other countries that are moving up. Good that economies in other countries are growing. Are we that selfish that we can't wish others good? Haven't we had our share and it may be time to share that with others?
Nothing is forever. No one can remain number one. World history shows us that cultures, religions and languages change. We have forgotten our past so quickly since the beginning of the industrial revolution. Things have been on the upswing ever since. Maybe it's time to give things a rest. It is okay to be middle-class and live in smaller homes, drive smaller cars, buy less things. Afterall, that doesn't make the person, the culture or the country. If it does it is a sad commentary.
I'm sure I'll get torched for this but too bad. It is what it is.
qtla9111 wrote: Wow! So finally some other smuck gets a piece of the pie. Good for other countries that are moving up. Good that economies in other countries are growing. Are we that selfish that we can't wish others good? Haven't we had our share and it may be time to share that with others?
Nothing is forever. No one can remain number one. World history shows us that cultures, religions and languages change. We have forgotten our past so quickly since the beginning of the industrial revolution. Things have been on the upswing ever since. Maybe it's time to give things a rest. It is okay to be middle-class and live in smaller homes, drive smaller cars, buy less things. Afterall, that doesn't make the person, the culture or the country. If it does it is a sad commentary.
I'm sure I'll get torched for this but too bad. It is what it is.
I have a big problem with the fact that the "sharing" was not our choice,.....it was made for us, by someone else.
Yup, they really should be bowing to us and praying for forgiveness. lol
I'm in my 50's and run my own business. This has been a very good year so far, and looks to be the best since we opened in 2000. But, gas prices are high enough that I think twice about consuming the stuff.
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