Comments on: The recovery will feel familiar: lousy http://blogs.reuters.com/great-debate/2009/05/05/the-recovery-will-feel-familiar-lousy/ Thu, 21 Jul 2016 07:57:19 +0000 hourly 1 http://wordpress.org/?v=4.2.5 By: Anubis http://blogs.reuters.com/great-debate/2009/05/05/the-recovery-will-feel-familiar-lousy/#comment-14087 Fri, 08 May 2009 05:30:15 +0000 http://blogs.reuters.com/great-debate/?p=3322#comment-14087 Spud M, I don’t think a war can pull us out this time. It might just put us out.

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By: SpudM http://blogs.reuters.com/great-debate/2009/05/05/the-recovery-will-feel-familiar-lousy/#comment-14050 Thu, 07 May 2009 20:12:47 +0000 http://blogs.reuters.com/great-debate/?p=3322#comment-14050 Re: “Their party is not going to get started again for some time.”

I lived through the depression of the 30’s, which ended only because WWII stimulated our manufacturing. It took 10 years. Now, with greater debts, and no manufacturing sector, THE POOR may never come back.

Try this: split our population into two halves – based on net worth. Treat them as two separate countries. Prepare a forecast and an outlook for each separately. Write two articles.

(If you need a quiet place to work, come down to Bolivar
Island in Texas. We could do a forecast for those people, too.)

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By: marc http://blogs.reuters.com/great-debate/2009/05/05/the-recovery-will-feel-familiar-lousy/#comment-14047 Thu, 07 May 2009 19:54:11 +0000 http://blogs.reuters.com/great-debate/?p=3322#comment-14047 The spike in consumer spending that we’re now seeing is the result of people putting off essential purchases for the past 4-6 months (since the market melted down in Sept 08.) But once this spike is done with, we are left with many consumers who have come to realize in the past months that we can do very well without a lot of frivolous spending on things we don’t really need. There is now a more concerted effort to save because many consumers have seen the light and that there really will be rainy days in the future to save for. I don’t see the recovery to be very strong either as we are no longer a nation of ‘fervent’ consumers. So, what else is there to drive the economy?

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By: Steve http://blogs.reuters.com/great-debate/2009/05/05/the-recovery-will-feel-familiar-lousy/#comment-14040 Thu, 07 May 2009 18:53:20 +0000 http://blogs.reuters.com/great-debate/?p=3322#comment-14040 I concur with the author on many of his points. Perhaps our differences as a group of readers lies in the meaning of the word “worst”.” To some who are being towed by a lifeguard after near drowning, that is better than the worst they were experienceing which is near drowning. Others don’t feel that way until they two weeks past the event and the worst day of their life is well past. Someone still unemployed and losing a home is unlikely to see that that things are any more rosy than the person who has not be visited yet by a lifeguard. Perhaps we could agree that statistically we have better numbers than last fall but whether that will remain only time will tell. I believe that we have failed ourselves by allowing our R&D to go overseas and by not factoring in the cost of fighting all these wars as that money funds some of our enemies. Those here who ultimately profited on the offshoring should get a bill for the real cost that is being borne by the American people. But it looks like Congress, both parties, are going to fight that.

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By: bill gordon http://blogs.reuters.com/great-debate/2009/05/05/the-recovery-will-feel-familiar-lousy/#comment-14039 Thu, 07 May 2009 18:52:17 +0000 http://blogs.reuters.com/great-debate/?p=3322#comment-14039 Conservative savers getting 1% on their savigs in a 6% inflationary environment.A controlled contrived B.S. stock mkt. with a high rate of job loses still happening.Yeh ill say the economy still stinks to high heaven.

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By: gd http://blogs.reuters.com/great-debate/2009/05/05/the-recovery-will-feel-familiar-lousy/#comment-14037 Thu, 07 May 2009 18:50:47 +0000 http://blogs.reuters.com/great-debate/?p=3322#comment-14037 DO I HEAR A LEAK IN YHE BOND MARKET THIS AM !

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By: Righty http://blogs.reuters.com/great-debate/2009/05/05/the-recovery-will-feel-familiar-lousy/#comment-14030 Thu, 07 May 2009 18:13:00 +0000 http://blogs.reuters.com/great-debate/?p=3322#comment-14030 “lefty” makes an interesting point and provides a great web link concerning where the money went. Reminds one of the Elliott Ness observation – to solve a crime, follow the money. If the current economic strategy isnt criminal, it certainly is fiscal lunacy. The only solution is to reverse a 50 year decline in manufacturing contribution to GDP, and trigger immediate across the board stimulation by putting $$ back into the taxpayers hands. How about a $10,000 tax rebate for everyone. Then, as others have suggested, start putting politicians and bureaucrats in jail with their banker political contributors, before they bankrupt the country.

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By: gd http://blogs.reuters.com/great-debate/2009/05/05/the-recovery-will-feel-familiar-lousy/#comment-13989 Thu, 07 May 2009 11:02:18 +0000 http://blogs.reuters.com/great-debate/?p=3322#comment-13989 Sounds made by the deflating asset classes during the GFC

1. property – denial

2. equities – disbelief

3. bonds – pop !

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By: gd http://blogs.reuters.com/great-debate/2009/05/05/the-recovery-will-feel-familiar-lousy/#comment-13987 Thu, 07 May 2009 09:47:19 +0000 http://blogs.reuters.com/great-debate/?p=3322#comment-13987 WHAT IS THE DIFFERENCE DETWEEN THE STREES TEST AND MARK TO MARKET ACCOUNTING ? ANSWER REALITY !!

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By: NS http://blogs.reuters.com/great-debate/2009/05/05/the-recovery-will-feel-familiar-lousy/#comment-13984 Thu, 07 May 2009 09:25:50 +0000 http://blogs.reuters.com/great-debate/?p=3322#comment-13984 The worst is over? Wall Street still still not reconciled with Main Street, their contempt will be their ultimate undoing. The delusional trading and credit markets disconnected long ago. Real wages declined and now real jobs are rapidly disappearing. Globalization and privatization effectively the gun which shot the US economy in the foot. Debt was encouraged by loose monetary policies over two decades, markets were opened to every tom,dick and hariette to speculate in a free-for-all. This included commodities and other economic lynch-pins, particularly housing/real-estate. Enterprises massively expanded including the financial banking sector globally with interdependencies which are sick and incestuous; included governments and regulatory agencies.

I ask one question. What will lead the USA into positive production, supply stable employment and allow earnings of a living wage? Should people fund an ordinary life solely through debt on false inflation for their lifetimes? I think not. The rubber is about to meet the road after being in the stratosphere. Are we to be reduced to delivering pizza’s to each other?

Until we produce more than we consume, save more than we spend the US economy will continue to bump along a bottom. Increasing numbers of people are not given the opportunity to participate even with high education levels, as every aspect of life is fodder and rigged for debt from cradle to grave. A return to an ownership society will be massively painful but is the only path to a sustainable, healthy economy that provides individuals obtainable opportunities and rewards for discipline/prudence over risk/speculation.

Confidence broadly is lost, regaining trust will be a Herculean but necessary task in banking and markets. Currently opacity and overly complex markets taking trillions of support from government without terms is compounding the economic reality of citizens in frightful ways. The ratio of opaque stimulus to the financial sector versus direct stimulus is still horrifically lop-sided. Taxpayers and working schmucks are asking what is the return on our new status of shareholders. Where is my dividend check and why is Merrill in the business of storing oil offshore on my dime only to falsely inflate heating my home this coming winter? Enough already.

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