It looks like recovery is working.
Interest rates are rising for mortgages, indicating demand is up, indicating housing is selling again. That was a principal cause of the problem.
Look at the graph at www.bankrate.com.
The stock markets of the world are showing stability, compared to 5 months ago. Look at the world graphs at
These reflect a confidence worldwide.
Political upheaval has stabilized in Britain, the US, China, Japan, and other industrialized G* countries. Russia and Ukraine seem to be getting
along a little better.
Personally, I'm making money again, and probably will have a lower mortgage. I see that as a positive.
The problem with the world was a lack of money. More and more people have been born and the money supply has not kept up. It's similar to the Great
Depression, when Hoover would not put more money into the monetary supply to solve the problem...hoping it would all work out under the basic rules of
capitalism (same thing the GOP thinks today). In fact, by rapidly increasing the money supply, we have solved the problem. Here's how you can know
this is true: When the Federal Reserve wants to control inflation, they raise interest rates. When they want to control deflation, they lower
interest rates. When they want to stimulate the economy, they lower interest rates. Well, folks, that finally didn't work because there wasn't
enough money. The Fed was unable to change the deflation rate, even if they bottomed out the interest rates to .25%, which, when coupled with the
deflation occurring, was effectively saying ".25% minus 3% equals minus 2.75% interest." So, the Fed Reserv literally was paying the banks to take
the money, and it still had no effect. More money had to be created to create inflation. So, they began with a small amount, less than a trillion.
They threw it into the economy as a stimulus. Nothing happened. Normally, when you flood an economy with money, you have inflation. So, everyone
was surprised that 768 billion dollars had no effect. It was barely filling the holes of a leaking economy bucket, while the economy kept declining.
More money was then thrown into the bucket to fill the holes, another trillion or two, with no inflation effect. Folks, this is a sure sign you do
not have enough money in the economic bucket for society to function. The money was thrown into the economy to replace the digital money that had
disappeared due to the failure of so many financial institutions. Now, today, you are seeing the typical 9 month delay begin to take effect, and the
original stimulus beginning to affect growth, jobs, inflation, interest rates, etc. Feel good. Our government has done the right thing. The money
is now in the economy again and having the desired effect. Your mortgages have been supported, your banks can lend money again, you can get a credit
card, your job is coming back because businesses are getting credit and loans, and so forth. It takes time to rebuild the confidence that was lost
inside the financial institutions. It's been a forest fire to them. It is coming back, bright days are just ahead, and you will be able to unload,
eat, and relax again. Really. It worked. We did not make the same mistake made by Hoover. We did not let the system fail. We rescued the system
the only way it could happen. The system bled value, the government did the transfusion necessary to save the patient. The transfusion is still in
progress. You guys out of work---- start getting jobs. They may be a little different, but get going on those interviews. I had a good job, too,
but it reduced by 1/2 so I got a second 1/2 job and that made a whole job, so to speak. Now, both are picking up and I'm making money. I had to
retrain a little, but what the heck. Variety is the spice of life, right? Have some fun in your new job. Meet some new people, have some parties,
whatever.... that's what I'm doing. If you are sitting back waiting to be rescued, that didn't work even when the economy was good, right?