United States Heading towards a Depression?

You do know the Central Bankers were around in 1929 and some say they caused the Great Depression (just like the Great Bailout today).

 

Words of a fellow DP person Link

(See post #15 )

 

I think tesla was blowing hot air in that thread. he hasnt left and thats why he stopped posting in that thread a while ago.

 

It's probably tough to profit from the current situation unless you have cash.

Are you thinking about the inflation that will result due to the massive spending. Look at the Dow back in 1980 when Inflation was in double digits.

"What country should I relocate to if the U.S. has a major economic collapse?" is a good question when you look at it from an expense saving angle. It's definetely not for everyone but for people that make a living 'online", it's an option.

I think that the current recession is kind of the 73-75 and 91-92 recession rolled into one.

The 73-75 recession was ended with an economic stimulus program. In March 1975, President Grald Ford signed into law a bill that provided individuals with a 10 percent rebate on their 1974 tax liability, a fattened standard deduction, and a temporary $30 tax credit for each taxpayer and dependent. For companies, the investment tax credit was temporarily increased to 10 percent. The 1976 Ford recovery resulted in mild inflation of 4.8% and the economy rebounded. However, 4 years later the inflation rate soared into in the 18 to 20 percent range.

It appears that we are repeating the same mistakes of the 1970s in dealing with the current recession. The Congressional Budget Office report Friday that the president's budget would produce $9.3 trillion in deficits over the next decade — more than four times the deficits of Republican George W. Bush's presidency.

http://news.yahoo.com/s/ap/20090322/ap_on_go_pr_wh/obama_economy

 

YAY AGAIN! Obama has done it!

He has saved the economy, the banking system, and America.

The stock market was up by more points than in its entire history. Happy days are here again!

I can't wait to move into my McMansion, with the granite countertops, a Hummer in the driveway, and a 65" flat screen TV with a Playstation and bulging 401k.

Obama IS the savior! And, Timothy Geithner is a financial genius. How could we have ever doubted them?

 

We are on the last end of a gigantic bubble.
1) Commerical Real Estate Bubble - crash 1991
2) Stock Market/Dot Com Bubble - crash 2001
3) Real Estate Bubble - crash 2008
4) Dollar Bubble

The Dollar Bubble may only last 18 months or so if we are so lucky.

 

What would happen if on 2nd April 2009 during the G20 meeting, major countries agree to a new reserve currency and drop the dollar? Will there be a war?

 

I doubt it.

China is kind of upset about what's happening to the dollar though.

 

China Urges New Money Reserve to Replace Dollar (New York Times)


U.N. panel says world should ditch the US Dollar (Reuters)


Russians demand a new Global Currency (The Moscow Times)

 

It seems like, pretty soon, America won't really be able to borrow money anymore.

Not only have we trashed the value of our currency, but we've done it so badly that its about to ruin our credit rating.

So we end up with some $14 new trillions in debt and printed money since this crisis began - and we're going to end up forced to pursue austerity/spending cuts anyway.

This is exactly why you can't spend your way out of debt, no matter how many treasury and reserve tricks they try to explain it away with. If we had just cut back consumption in the first place (as individuals did on the household level), we would be in a better global trade position AND we'd have 1 less annual GDP to pay back in taxes.

 

I say much longer (I hope its longer), possibly 4 to 5 years. The government has shown an incredible ability to stretch out bubbles far longer than you would think possible.

And what currency will they use, the Euro? That's worse than the dollar.

The Yuan? Yeah, that makes sense.
The Yen? That would go over real big in Europe.

A new currency would take years to develop.

This will not happen anytime soon.

 

The euro is not worse than the dollar. In fact some day soon the euro WILL be the reserve currency.

 

Perhaps the Brits could be waking up to their own demise ? Will USA ?

LINK

 

Dollar Pares Losses vs Euro on Geithner Clarification

Market reaction to his slip up:

 

When the fed borrows a trillion from the fed? Yes, we are now on the path to doom and gloom. Sad, very sad.

Personally I'd rather have a miserable failure for a president than a fucking idiot.

 

I've never in my life seen/read/heard a President get as much disrespect coming into office as the current one.

I wonder what makes this President so different from all the others that he receives such disdain from such a substantial part of the population?

 

Bush is the fucking idiot, buddy.

Bush is the one who needed his well connected family to get into Harvard.

Bush is the one who drove this country into the ground.

Obama is the one who is turning this country around and putting us back on the track towards greatness again.

 

Some say Bush stole the 2000 election and yet people gave that idiot more respect than the current President gets. I could just imagine someone saying they wished Bush would fail, how that would have been received back in 2001.

I don't like Obama, but anyone who supports the POS that is George W Bush really needs their head examined (unless of course they are a defense contractor, in the oil business, or a banking/hedge fund manger).

George W, the forever failure.

 

I've never seen one that lacked as much experience as this one does. That is probably why you are seeing what you are seeing.

It's kinda difficult to respect someone that has not earned any yet.

Again, lack of experience, intelligence and respect.

Coming from you I file this in the same place as Dumbama's understanding of the market.

What makes your posts so comical is not the content alone, but the fact that you may actually believe what you are posting.

 

I'm not like the Dubya fanboys when it comes to my appreciation of President Obama. I am quick to point out when he is wrong. But even when he is wrong like he is on the legalization of marijuana, it's usually understandable politically (i.e. he knows that drugs are still a political "hot potato" with the older generation who is so ignorant on the subject.)

But overall I am very, very impressed by Obama's performance thus far as President. He is definitely living up to his promise and then some. I believe he is the leader we need in office to finally tackle the big issues facing America: health care, education, the environment.