BigRed32771
Expert Expediter
Financial "experts" tell us that about 2 weeks ago the economy nearly seized up and shut down. The Secretary of the Treasury and the head of the Fed ran to the President in a panic warning of immanent collapse if emergency measures weren't taken. Since that time the government pumped $85 billion of our money into bailing out AIG, oversaw the acquisition of a major bank by another and allowed another bank to fail. Over the weekend yet another major bank was acquired by a huge financial conglomerate (which if memory serves correctly had itself earlier been the recipient of government assistance) and Congress has worked out the details of a Wall Street bailout which is reported to be $700 billion more of our money, but which some experts say is only the beginning of the cost.
Do I believe that the economy is teetering on the brink of collapse. Yes, though I still believe it could go either way. While I base this on a lot of listening to so-called experts and conversation with knowledgeable friends, I also pay attention to the anecdotal information which supports the idea that there is a growing crisis of confidence in the populace. People are scared about what is coming down the road. In talking with drivers recently I perceived that a shudder ran through the transportation industry at the time the market started to seize. It was small, but to me at least, notable. My daughter reports that the dental office she worked in until recently has experienced a significant number of appointment cancellations from people deciding to postpone dental work. My former mother-in-law has started stockpiling groceries and talking about a depression. I and a couple of my friends have fielded an increased number of calls and conversations from people trying to get a handle on what is going on. Even my own mother, who never pays attention to things political or especially economic, has talked to me about how things are going and that she just hopes for the best.
How have things gotten to this point? We were told that the economy was supposed to be stable and that with the steady hand of the government and the Federal Reserve (remember Alan Greenspan?) things would just cruise into a prosperous future. Instead, the nation weathered a significant downturn when the "tech-bubble" of the Clinton years collapsed just before the 2000 elections. During the last several years we experienced a "housing-bubble" which has now collapsed and is potentially going to take down the economy to drastic levels. Again, how have things gotten to this point?
One answer, and it's not "the free market run amok."
Take a look at this video: YouTube - Burning Down The House: What Caused Our Economic Crisis?
It gives a clear explanation of who and what are responsible for the current crisis.
Think about it. Pass it on.
Doug Simmons
"Vote Anti-Incumbant! It's time to remind them they're the hired help!"
Do I believe that the economy is teetering on the brink of collapse. Yes, though I still believe it could go either way. While I base this on a lot of listening to so-called experts and conversation with knowledgeable friends, I also pay attention to the anecdotal information which supports the idea that there is a growing crisis of confidence in the populace. People are scared about what is coming down the road. In talking with drivers recently I perceived that a shudder ran through the transportation industry at the time the market started to seize. It was small, but to me at least, notable. My daughter reports that the dental office she worked in until recently has experienced a significant number of appointment cancellations from people deciding to postpone dental work. My former mother-in-law has started stockpiling groceries and talking about a depression. I and a couple of my friends have fielded an increased number of calls and conversations from people trying to get a handle on what is going on. Even my own mother, who never pays attention to things political or especially economic, has talked to me about how things are going and that she just hopes for the best.
How have things gotten to this point? We were told that the economy was supposed to be stable and that with the steady hand of the government and the Federal Reserve (remember Alan Greenspan?) things would just cruise into a prosperous future. Instead, the nation weathered a significant downturn when the "tech-bubble" of the Clinton years collapsed just before the 2000 elections. During the last several years we experienced a "housing-bubble" which has now collapsed and is potentially going to take down the economy to drastic levels. Again, how have things gotten to this point?
One answer, and it's not "the free market run amok."
Take a look at this video: YouTube - Burning Down The House: What Caused Our Economic Crisis?
It gives a clear explanation of who and what are responsible for the current crisis.
Think about it. Pass it on.
Doug Simmons
"Vote Anti-Incumbant! It's time to remind them they're the hired help!"
