Maybe this economy isnt as bad as we think

First I want to start off by saying I think we are going through some tough times right now. I am not denying that. However I have said in the past that we are no where near where we were during the depression. I found this interesting article.

If you think this recession is the worst since World War II, chances are you weren't born or working during the downturns of the 1970s and '80s, you're listening to President Obama too much or you're a white-collar worker in financial services.

If all three are true, you may even think we’re on the verge of another Great Depress

Obviously this board isnt the only place where doom and gloom and economic collapse is being spread. Hell our own president is even spreading it.

“The current situation has nothing in common with the Great Depression,” says economist Steve Hanke of the Cato Institute and Johns Hopkins University. “The sooner they [in Washington] stop spinning the bad news story and say nothing, the sooner we’ll be more confident.”

I think if this board was around in the 70's or 80's there would be almost the exact same amount of economic armageddon posts as there are today. And guess what we pulled out of those recessions too.
Read the full article below, there put the whole situation in perspective. The one main difference I see if the amount of debt we have as a country compared to the amount we had back then.
Why This Recession Seems Worse Than '70s and '80s

Agreed. Our economy back then was based on Agriculture and exports, now it is consumer based. So when you take away consumer confidence, they stop buying in fear of losing their jobs etc. This can all be fixed by simply saying "It's not as bad as you think." In the 30's, the Dow fell 40% in 4 days. The Dow now has fallen roughly 48% in about 2 years. Unemployment at its lowest was around 17%, and reached 25% in 1933. So no we are no where near the great depression, but If the government keeps spitting out bad news and fear mongering then yes, this could very well turn into a crisis of epic proportions.

I had just started Elementary School in the early 1970s and can remember standing in a grocery store line when customers gasped at radio news report being played over the market's public address system. I was a little too young at the time to comprehend but the reporter was talking about Nixon's decision to fundamentally alter the Brenton Woods Agreement and that his gamble might lead to the world wide collapse of the monetary system and not just the United State's.

This problem has been around for a long time now. One administration after another find's it's own little way to put off until tomorrow what should have been down several years worth of yesterdays ago.

Until the Federal Reserve Act is repealled and our currency is once again based on something real of intrinsic and solid value the manipulations made possible by a flat fiat currency issued out of thin air as an instrument of debt instead of wealth is going to simply keep us indebted to those who run the system.

For me the economy is fine, but that's only because I play by the same rules the banksters do...none.

Most people truly are hurting from their manipulations though. It's all about politics. The politics of fear and control.

One thing that emphasises the perceived downturn is the fact that there is much more sensationalist media around today. Most media outlets look for the worse possible areas and exagerate them.
Call me crazy but the media should carry some of the blame as well as the main culprits.
Nice post, very interesting.

reply to post by and14263

Call me crazy but the media should carry some of the blame as well as the main culprits.

A very valid point and observation. The media does drive a sense of pessimism, anger and negativity into most of what it broadcasts. It does shape oppinion and perspective in tangible ways that are not always in the people's best interests!

I think the main difference today is the more globalized monetary system we have now. We also had it in the 1970's but not near as much as we do now. I don't recall any international failures in the 1970's but then again I was a teenager.

When every country contracts a new level playing field will be created.

All things (well most) are relative.

Sounds simplistic, but give it some thought.


Mike F

You guys must be joking. This is pure Groupthink in action. You're all conceding to the most hopeful outcome. Whoever is the first to counter-argue any such "doom and gloom" scenario is obviously going to command concordance. This recession is utterly dismal. Either you're living in isolated government towns or you're just plain delusional. Unemployment is currently at 7.6%. If you follow the charts regularly you'll see it's still rising. Food prices are rising. Consumer demand has fallen almost 1%. Oil is at a 22-month low; this will impact industry very negatively and cause more unemployment. Property values dropped 6% this year. Now look at the rest of the world. Russia's unemployment rate doubled from 3.1% to 6.2% in the last two quarters, leaving 10 million unemployed. Everything's falling apart. My grandfather is being harassed by the banks to either drop his loans or interest rates will be raised. He's a freaking millionaire and he's retired. I wonder where you all live. This being a conspiracy site it might have drawn out a lot of isolated individuals.

On the other hand, I think the economy is in worse shape than the majority of the public thinks. Just look around..Unemployment is at all time highs (and the numbers the Gov. releases are much lower than in actuality). Nobody is hiring unless it is some very skilled position..stores and businesses closing down left and right. This isn't even just a U.S. problem anymore...the powerhouses of the World are collapsing right along with us. Our population is HUGE compared to the 1930's..only leading to more problems. We don't make anything in America compared to the 1930's, so as soon as consumers stop spending, it's going to be quite difficult (and maybe impossible without drastic changes) to put us back on some kind of path.

Things are much worse than you think. The dollar is set for collapse, the "Stimulus" is little more than Obama's payoff to his supporters, and the state coffers across the US are tapped out.

The US war debt is also adding to burden and Obama is no different than Dub he's spoiling for a fight in Pakistan and Iran.

The Way Home or Face the Fire -

www.jahtruth.co.uk...

Unemployment is actually at 13% + if you account for the part-time jobs lost. We've never had an economic downturn with a credit-based economy like we do now, and when it keeps ballooning and then failing....i just don't think we've even seen the tip of the iceburg yet, we haven't even seen the total failure of commercial real estate yet which is soon to come. Just look at all of those empty buildings NOT being rented...things will likely get worse before they get better so don't call the ballgame yet!

[edit on 16-2-2009 by mpriebe81]

Have to disagree with you I'm afraid on this one-we are certainly in the early stages of the Greatest Depression of all time.In the uk in the 1980's things got so bad in the north -east of the country that items such as teabags and cigarettes were being sold one at a time,and that was just a severe recession.So heaven help us with what's ahead in this Tsunami.I'm sorry I sound so pessimistic,especially to anyone young reading this,but if you think life won't change DRAMATICALLY you are in denial.Hopefully though a much better world may emerge from the ruins .

well I hope you are right really I think that it will be a humbling time for many middle class americans,

tough loving, as they say....

If you could only bottle optimism and sell it you may have a chance for success in this economy.

2nd line...

Originally posted by ConservativeJack
well I hope you are right really I think that it will be a humbling time for many middle class americans,

tough loving, as they say....

Tough love? Horse feathers! Those that should be humbled are those that got us into this mess! The ultra-wealthy. The spoiled rich celebs and their bankers! Scum of the earth swine!

The middle class Americans built this morally bankrupt harbinger of despotism that was the United States of America!

I agree time are tough, however I think it is far from the worse ever. Should be interesting to see what happens in the third or fourth quarter of 2009. If things start to level off, we will be far from anywhere close to a depression. Actually things where I live are quite busy. Resturants are packed, there is traffic everywhere, and 95% of the people I know are working. I also live in Naples, 30 minutes south of Fort Myers. Fort Myers is where Obama visited last week, it has the second worst job loss percentage in the US. So I of course am optomistic. Real estate purchase is upand I am getting busier with work. Things seem to be turning around down here already. I am keeping my fingers crossed.

reply to post by Anonymous ATS

I wonder where you all live. This being a conspiracy site it might have drawn out a lot of isolated individuals.

I know its bad out there! I live in Miami where we have something called the Third World Order! It isn't as draconian as the New World Order as a matter of fact the Third World Order survives nicely picking on the New World Order. Try it you might like it. It works like this, first you pretend you are a Bankster in the New World Order, then you natuarly rip up all the rules everyone else has to follow. Then you remember that Banksters like to get over on each other too, so you find some Banksters to pick on!

Tough love? Horse feathers! Those that should be humbled are those that got us into this mess! The ultra-wealthy. The spoiled rich celebs and their bankers! Scum of the earth swine!

The middle class Americans built this morally bankrupt harbinger of despotism that was the United States of America!

Umm, sorry to be the one to have to tell you, middle class Americans are over extended just as much as rich folks.

middle class folks have been living beyond their means for some time now

at least upper class folks can afford to live that way and buy those homes

its arguably the middle class that are the biggest liability now because they are so over extended and deep in water....

they are in for some tough loving....man up.