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View Full Version : How bad will it get...?


Rudy23
December 14th, 2008, 09:12 AM
As we've ALL noticed 2008 was a terrible year for the economy. In November alone we lost half a million jobs, in the U.S. And now the Big 3 of the auto industry seem to be all but lost, which will lead to even more lost jobs...
Do you guys think theres an end in sight? And have you been affected directly by the recession (i know i have)?

December 14th, 2008, 09:28 AM
I do not have a doctorate in economics, but there's always and end point...doesn't business go in a sine wave-like cycle? We just happen to be experiencing the lower end of it right now...and, hey, it's a sweet deal if you aren't trying to get into college next year. Prices are down in everything from gas to that chocolate bar at the corner drug store...

Rudy23
December 14th, 2008, 09:36 AM
I do not have a doctorate in economics, but there's always and end point...doesn't business go in a sine wave-like cycle? We just happen to be experiencing the lower end of it right now...and, hey, it's a sweet deal if you aren't trying to get into college next year. Prices are down in everything from gas to that chocolate bar at the corner drug store...

Yeah your right, i haven't seen gas prices like this in years. And we do have Pokemon Platinum to look forward to in April xD

The Confuzzler
December 14th, 2008, 09:43 AM
im not sure if America has it but in UK there's a branch called Woolworths thats really popular for food, toys, games, supplies, clothes stuff like that but sadly its being forced to shut down..

Gumball Watterson
December 14th, 2008, 09:54 AM
im not sure if America has it but in UK there's a branch called Woolworths thats really popular for food, toys, games, supplies, clothes stuff like that but sadly its being forced to shut down..

That my friend, is one of the effects from the "Eww"conomy in the US. When one Ewwconomy goes down, the rest is brought down with it. Especially in the US.

Well, gas is low, demand is high, my dad is happy with his job. I am happy with the money. I really won't be affected much in the future. Not even if I move back to Mexico.

But hopefully it gets better, because if it doesn't, I may as well move to Italy.

Cassino
December 14th, 2008, 10:36 AM
I don't understand the fuss. The Great Depression was at the beginning of the last century, and there's one at the beginning of this century now. It happens so often, the economy just goes up and down each decade; seriously, how is this in the news at all?
Apparently it's "the worst it's been since 1980"... lol. Very petty then.

I have not been affected at all and never will be unless WWIII comes out of this.

Gold warehouse
December 14th, 2008, 10:57 AM
unless WWIII comes out of this.

Keep your fingers crossed, then there will be jobs for everybody!

Farasha
December 14th, 2008, 12:03 PM
I don't understand the fuss. The Great Depression was at the beginning of the last century, and there's one at the beginning of this century now. It happens so often, the economy just goes up and down each decade; seriously, how is this in the news at all?
Apparently it's "the worst it's been since 1980"... lol. Very petty then.

I have not been affected at all and never will be unless WWIII comes out of this.

Let me explain the fuss.

I'm currently a Sophomore in college, pursuing a double-major in Technical Theater and English, with a minor in Secondary Education. This means that when I get out of college, I'll be able to pretty much anything related to theater - "techies," people who do lights, sound, costumes, set and stage management, always have a job. There are too many actors, not enough techies. And when I get tired of the tech work, I can go teach.

Or at least, that's what I thought when I went into college. Now, I'm not so sure. I go to college in New York City, the epicenter of American theater, so it would seem like everywhere I turned around there's a venue for me to work. Not so, at least anymore. More and more theaters are dark now than ever before, and extremely popular Broadway shows have been shutting down left and right. Here's a list of shows that have closed or announced they're closing just in the past few months alone:

- RENT
- Spamalot
- Young Frankenstien
- Legally Blonde
- Spring Awakening
- Hairspray (WHUT?)
- Grease
- Gypsy

Those last three? Those are extremely popular musicals, not new up-and-comings like the rest of them on the list (all except RENT, which was established and closed in what people considerd "its due time"). This is Bad News for me, my colleagues, and my fellow students - especially the actors.

Not only that, but it was incredibly doubtful that I would even be able to go back to college this semester. My dad's bonus got drastically slashed, my mom's corporate job is shuddering because she works in insurance with credit unions (credit unions are like banks, and while they aren't getting hit as fast, you all remember the bank closings on the news, right?), and my college has expensive tuition.

Add that to the fact that I can't find a job up here to save my life, because prices are rising but wages aren't catching up and there just aren't enough jobs to go around to everyone that wants one. There have also been massive amounts of layoffs around the country. Texas, my home state and also one of the last to be hit in any economic crisis, is shutting down some of the chemical plants around Houston, and it's getting bad out there. My future is not secure anymore, and neither is anyone else's unless they come from an old-money family.

So yeah. People are raising a pretty big fuss, and I'm right there with them.

Cassino
December 14th, 2008, 02:47 PM
I meant that I don't see why people are so bothered, we should be well used to this routine of economy by now.

Otter Mii-kun
December 14th, 2008, 04:29 PM
It could get much worse-perhaps worse than the 1930s Great Depression-while the Federal Reserve pumps up the stock and commodity markets and the media claims it's all because of "recovery hopes" and other "good news ahead" when in fact, it is all hyperinflationary forces at work. I can easily see the dollar plunge into a Weimar/Zimbabwean style hyperinflation, with claims that "we need to print more money in order to stop this depression" and to "save the poor homeowners from foreclosure" and "we gotta help the automakers!", among other oft-repeated propaganda lines.
Virtually all gains in the stock market will be because of inflation pumped in by the Fed, NOT because of any "recovery" or "hope" as the mainstream media wants you to believe.

If printing money and expanding credit worked to solve all economic problems, then Zimbabwe would not be in anywhere near the mess it's in today. Peter Schiff, Jim Rogers, Lew Rockwell, and Ron Paul, among others have warned of the dangers of Fed intervention into the economy, and we are already seeing these effects.

Check out the M1 (http://research.stlouisfed.org/fred2/fredgraph?s[1][id]=M1), M2 (http://research.stlouisfed.org/publications/usfd/page6.pdf), and especially the Monetary Base (http://research.stlouisfed.org/publications/usfd/page3.pdf) charts-straight from the FED themselves.
See http://www.garynorth.com/public/department29.cfm for links to more charts and some commentary on monetary policy at the FED.

I'm planning on starting a new debate thread in this section on the Federal Reserve and central banking and whether it is a benefit or harmful to the economy.