reply to post by mrsdudara
Problem is someone has to face the music
We already are.. sinking Dollar, job losses, a pessimistic air over the entire economy, reduced spending, loosing our homes, loosing our "American
Capital (which is the fuel for the Stock Market) comes from many places. It comes from Corporations investing in other corporations. It comes from
our 401ks, IRA's, Pensions, Mutual Funds etc. It can come from Investors, day traders, but mostly from big funds, from investment institutions like
Goldman Sachs. And it can come from the Government.
The market has a huge influx of Capital, but the Capital did not come from once primary sources such as retirement accounts or long term investment
accounts funded by the likes of you and I. It came from the Government, and through the Government also mega institutions like Goldman Sachs, Bank of
America, Citi etc.. Every bank that received public funds pumped hundreds of billions into the markets, reaped profits on the way up, paid back the
debt with little to no interest and reaped the profits. The profits are now still fueling the fire of the market.. it's mega inflation at such a
concentrated level of the economy it's never been seen before in history.
But just because the Markets rise, does NOT mean the economy is better, and it does not bode well for you and I. Except perhaps retirement accounts..
but a 50% increase after a 60% loss still leaves 30% not recuperated.
And in these times just because a single corporations stock rises, does not mean it's doing well either.. Many institutions that have seen financial
come backs this year are dead, like GM or Citi, investment banks have reaped countless billions from playing their stocks, but they do not preform.
More companies than ever, since the Great Depression, are lowering or erasing stock dividends (market share of profit) simply because there are no
And to answer your question "how do we turn this around" .... we don't. Because we have no new industry. The Government and the ignorant
"Green" politicians/business leaders thought Green Technology would be our saving grace.. but to hire one Green job is to cut 10 "dirty" jobs.
Combine that with the fact that due to our pathetic education system many companies cannot find Americans worth the money to do the jobs, and thus
hire folks from over seas like India and China to come over and do the jobs.
If America cannot produce, it cannot exist. The economic turnaround is IMPOSSIBLE without some form of wealth creation. Building roads, bridges and
windmills do not produce wealth, it's the government paying people to tax them, then pretend they made a profit. In short, it's a ponzi scheme.