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âThis is a very stubborn recession,â...
- Thread starter ASusilovic
- Start date
Yes, why do people assume the U.S., or the world for that matter, is going to recover soon? Just because it happened in the past? We haven't changed what got us into this funk, mainly cheap, weakly regulated debt issuance, so there's no reason to think things will improve again unless there's fundamental change.
They can open the "interest rate valve" to get more debt flowing but when the "regulation valve" is almost shut you won't get any flow. Without debt growth economies will continue to contract, including economies that relied on us to borrow all the money.
They can open the "interest rate valve" to get more debt flowing but when the "regulation valve" is almost shut you won't get any flow. Without debt growth economies will continue to contract, including economies that relied on us to borrow all the money.
Quote from vulture:
Why does everybody automatically assume that we are "recovering"? Somehow slowing the death spiral of a debt collapse has morphed into "recovering". Anybody with half a brain can see that the only thing that is holding this house of cards together are backstops, bailouts and the potential for further bailouts.
Quote from Kassz007:
This is a great point. So many people can't understand how we are currently in this "jobless" recovery. Recovery is a process over time. As pspr has stated, employers start hiring after they are assured the increased business is sustainable. Only time can assure employers of sustainability.
"Jobless" recovery is a BS term created by this liberal media (but I repeat myself) to protect Obama and his mega failure to fix what he promised to fix, the economy, despite the fact that the only remedy is to swear off tax hikes, renew the Bush tax cuts, and generally stay out of the way of American businesses large and small.
Jobless recovery? I mean really, I recall the complete meltdown by the liberals in this country back when Bush had the unemployment rate at 4.7%, and all they talked about were McJobs.
Quote from PlusMinus:
"Jobless" recovery is a BS term created by this liberal media (but I repeat myself) to protect Obama and his mega failure to fix what he promised to fix, the economy, despite the fact that the only remedy is to swear off tax hikes, renew the Bush tax cuts, and generally stay out of the way of American businesses large and small.
Jobless recovery? I mean really, I recall the complete meltdown by the liberals in this country back when Bush had the unemployment rate at 4.7%, and all they talked about were McJobs.
So the Bush economic policies were working? I thought staying out of the way of American businesses large and small while running up huge deficits might have contributed to the sh-t storm we just went through. Wait, you're right, things were going GREAT when Bush left office with his tail between his legs.
hey stupid, don't put words in my mouth. I never gave an opinion on Bush's full economic platform. Don't change the subject, the point is that under Bush we had a low unemployment rate and dumb liberals bitched about it endlessly. Go back to sleep.Quote from my7tvette:
So the Bush economic policies were working? I thought staying out of the way of American businesses large and small while running up huge deficits might have contributed to the sh-t storm we just went through. Wait, you're right, things were going GREAT when Bush left office with his tail between his legs.
Quote from PlusMinus:
"the only remedy is to swear off tax hikes, renew the Bush tax cuts, and generally stay out of the way of American businesses large and small.
Sorry I didn't mean to put words in your mouth. I thought you were giving us "THE ONLY REMEDY" for our economic problems...If not, what is this "remedy" supposed to be doing for us again?
Quote from pspr:
Jobs are not created after a recession until well into the recovery.
Think about it. You are a businessman who just had sales decline and you let a bunch of employees go.
Now business starts picking up and you are making good profits with your now reduced work force.
Not until you are sure the sales increases are going to be sustainable do you even consider adding new employees. Also, your profits remain higher the longer you can wait to bring on new employees. Next to product, employees are the largest expense in any business.
So, hiring new employees is one of the LAST things a business does after coming out of an economic slow down.
Sustainable sales increases ? Dream on. You will wake up in January and Februray. No Christmas season, no Santa Claus.
Jobs that have been eliminated will not return even if sales in your average business pick up. The economy is still in a process of deleveraging and job eliminations and other cost savings are necessarily maintained untill balance sheets are back in order. This isn't achieved in a 24 month period, it'll take between 36 and 54 months counting from March '08.
Because deleveraging continues I think it's highly unlikely that sales will pick up significantly in your average business. Noone's expanding, everybody's just cleaning up.
Because deleveraging continues I think it's highly unlikely that sales will pick up significantly in your average business. Noone's expanding, everybody's just cleaning up.