Please answer my global recession question

My question is simple; how can a global recession exist?

I can understand the possibility of a national, regional, or limited multi-regional recession--but not a global recession. This concept is not logically possible. All of the resources, manufacturers, buyers and laborers are still here. With product/service demand so high, it does not make sense for manufacturing facilities to sit empty--considering the rate of unemployment.

It would seem that the same wrench which was thrown into this machine could be pulled out to allow the cogs to turn once again. Am I incorrect in my theory that if money were placed back into the hands of the consumer, that the global economic system would rebound?

reply to post by supertrot


What we need... is to evolve into a Star Trek reality where there is NO MONEY.

That is the way of the future (NOW).

reply to post by supertrot


What we need... is to evolve into a Star Trek reality where there is NO MONEY.

That is the way of the future (NOW).

reply to post by supertrot


For 70 years, the whole world depended on Amerika. And these fatasses in turn borrowed their way into the printing presses. What we are seeing now is the real wealth of the world. Which isn't much.

reply to post by supertrot


What I have found is that after WW2, countries once again tried to prevent another world war by tying together all the world's economies in a system called Mutually Assured Economic Destruction. The idea was that if they were all tied, countries would be less likely to attack because it would cause a ripple effect through out the world of recession and depression which would eventually hit the country that attacked in the first place.

"Money" is manufactured by those who want to rule the world.

Yes, our lives could be made better and happier without money.

No, it will not happen unless Jesus comes again and strikes down the usurers.

Have you ever thought about the unlimited money created by war - in order to creat weapons of destruction - it never runs out.

But money to live on runs out, and millions are left starving.

We are truly a horrible race.

reply to post by supertrot


If the 'bailout' was used properly and put into the hands of consumers there would be no economic problems now. 700 billion... Wow, that's a lot of cash per person. But I guess the rich people needed it more...

As for a global recession, all of our economies are so tied together that if ones falls there will be world wide repercussions. That's why they will not make a huge deal about Japan and their nuclear crisis, because it would put a big dent in the worlds economy.

It's all fixed, we are all owned by the same people. When they want things to crash they will crash. We're the stupid ones that are letting it happen.

Pred...

reply to post by predator0187


Amen. couldnt have put it better.

One Government

One Currency

One Religion


under the impression of security and stability for the human race.

Originally posted by predator0187
reply to post by supertrot

 

If the 'bailout' was used properly and put into the hands of consumers there would be no economic problems now. 700 billion... Wow, that's a lot of cash per person.

About $2,300 each. Hey, that plasma TV looks really good!

reply to post by predator0187


You are correct; we are the ones letting it happen; however, all of the world governments and financial institutions must have more intelligence at their disposal than you or I. Those feed by greed must realize that they cannot expect to feed their materialistic fix when they have stripped their slaves of the money that they so dearly crave. At some point, I would expect that TPTB would realize that the current way of delegating wealth is broken. They must realize that if the system is not fixed soon, the masses will rise up and take back what they are due--and much more.

reply to post by eldard


And that cash would have been directly injected into the veins of the economy. $2000 is a lot when your struggling to put food on your table, which many, many Americans are.

To me, the bailout just proved who the government worries about more...

Pred...

reply to post by catwhoknowsplusone


Unfortunately, the money created by war is not actually attained from a foreign entity. It is circulated within our own economy. We are in a situation right now where we cannot afford to end the current wars that we are fighting. Could you imagine what it would do to the unemployment rate if we brought all of our troops home right now. The next jobless claims report would cause a market crash like we have never seen.

I agree, we truly are a horrible race. In the worst of financial times, it is the bottom third of the population who suffer and die. We need to find a non-violent way to revolt against the system and cull out some of the upper third.

I believe that it is time for us to establish a more nuclear approach to supply as many of our essential needs. I live in a rural area rich with agriculture; but, most of the food products that I buy comes from out of state or overseas. We have a local livestock auction every Saturday; but, I purchased some ground beef recently that came from China. Where is the logic?

How can a global recession happen?

Firstly, remember that a recession is not a complete cessation of trade and commerce. Clearly there are a number of variables that would contribute to recessionary effects, but on a global basis, it would simply mean that the same factors contributing to a domestic or regional depression also effect a global recession, probably measured on the production across all world economies.

We have some countries that are overheating such as China and Brazil, as I understand. These countries, and perhaps other developing countries, are actually growing too quickly leading to high inflation while developed countries are seeing slowing and contracting economic growth. Developed countries are counting on developing countries to facilitate economic recovery but because the former are overheating and having to slow economic growth, the developed countries are going to have a hard time counting on exporting to these countries for economic growth (while trying to manage massive sovereign debts and deficits). Some developing countries are also dependent upon developed countries for their economic and financial health because they have invested quite heavily into these countries and stand to lose a lot if the developed countries go belly up.

Welcome to the global interdependent economy.

Originally posted by catwhoknowsplusone
No, it will not happen unless Jesus comes again and strikes down the usurers.

So why didn't he do it the first time?

Originally posted by predator0187
reply to post by eldard

 

And that cash would have been directly injected into the veins of the economy.

And cause inflation.

The way that world economies are entangled and reliant on eachother is a craziness I will never get my head around. It's almost like they want all economies totally dependant on eachother so that when one falls, they all fall.

Even here in Australia, which has enough farmland to produce every kind of fruit and vegetable, I go into the supermarket and are they selling produce grown here? No, the products are from every other corner of the globe! Seriously, what is that all about? It's like everyone has to buy every else's products and send theirs off overseas. I'm sure some housewife on the other side of the world is wondering why she is having to buy fruit and veges shipped all the way from Australia when her country grows everything there quite easily also!

Anyway, that's just one small example. I'd love it if the words 'global economy' were never conceived and we went back to the simplicity of just worrying about our own country and put all our energies into making it the best it could be. Maybe things would improve all over if countries weren't so distracted trying to keep up with the proverbial 'global joneses'.

But what do I know!

how can a global recession exist?

There are two main factors I can see behind this

1/ A decline of specific resources that lead to a knock on effect in the supply chain and increased competition over remaining stock. This will provide significant disruptions to the balance of supply and demand.

2/ Significant disruptions to the regulation of money including corruption, counterfeiting, hoarding and other imbalances to interfere with the social organisation of supply and demand. One example of this is how lower and middle classes have not kept wage increases with inflation as the upper class has taken massive increases in wealth. This has affected the social distribution of money reducing the purchasing power of greater society and leading to a reduction of growth as a recession.

reply to post by supertrot


The World Trade Organization got rid of tariffs in 1995. This meant it was cheaper to produce in third world Countries using "Slave" labor and then sell in first world countries at extreme mark ups.

This was possible because prior to 1995 the hostile take overs and leveraged buyouts of the 80's concentrated "market power" into the hands of a few mega-corporations.

A decent explaination is here: agriculture.house.gov...

It talks of one market segment but applies to all.

This is what happen to the USA and other first world countries:

NEGATIVE translates into an export of money and jobs

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well seeing how some countries can and can't grow certain fruit, like Canada can't grow citrus unless it was inside a greenhouse or something it might be the thing, but its weird.