It’s official: The U.S. is in a recession... Seriously?

I've just blogged about this: It’s official: The U.S. is in a recession...

Somebody please enlighten me: The signals have been clear way back, the media sporadically even revealed these over the last months, why does the U.S. government need a year to "make up its mind" or "admit the truth"?

All I keep on reading is "how the government is doing something about it", their "plans" and "packages" and "50+ tools" have all been in play now for several weeks, some even for months...

How about if they clarified things in Dec 2007?

And on another note, seeing how the stock market tumbled what is this "official declaration of recession" now going to mean for the rest of the world?

 

The government is incompetent. What do you expect from them? To act like a business?

 

I'm encouraged it hasn't been a lot worse.

 

Euro could fall to parity with dollar

http://www.iht.com/articles/2008/10/29/business/col30.php

 

The United States of America is a company.

It operates like so many other companies. It lies and lies and lies until it's lost all credibility.

Once, people are near the point of never believing anything the company says, it finally admits the obvious when it can no longer hide the truth.

The mass media is like the company spokesperson. They'll blow smoke up your you-know-what while the evidence is all around you.

The politicians are the corporate officers who wouldn't tell the truth if their your life depended on it.

 

There is huge nexus between Politicians and Corporate Big bosses in US..that's why this crisis and also due to bad management and less stringent regulatory policies..

 

Bad management by companies that are allowed to have bad management and still be prosperous because of regulatory policies?

 

What else is news!!!

 

If you research the actual definition of a recession, you'll know why.

 

Didnt we all know that this would happen, I mean this just a formality. Anyway I am optimistic that US will bounce back within two years

 

If the government makes you afraid of the economy, then recessions deepen. It is only when people are convinced we already are before leaders will usually admit such things so that they don't become a cause of panics, runs on banks, etc.

It is notable that even the Ds running didn't say we were already in a recession.

 

First off a lot of economic statistics are backwards looking so we need those stats to come out before making a judgment, second there needs to be a trend and not just one bad number or bad month, and lastly since the GDP has held up over the last year it was hard to classify this a recession without a negative quarter of GDP.

 

People are spending borrowed money or money from stock and housing speculation. The US trade deficit is approx 70 billion a month and the US Gov. is spending a $1 trillion a month on bailouts. It doesn't smell good and doesn't make me want to go out and buy a trunk-load of gucci bags.

 

If they would be treated like a business things might be a bit different... Nevertheless, the next post I quote goes to show how even the business world is that transparent...

Very interesting post!

A period of general economic decline, part of the usual business cycle.
afr.com/home/investment_guides/glossary.aspx

A significant decline in general economic activity extending over a period of time.
www.argmax.com/About/articles.php

a stage of the business cycle in which economic activity is in slow decline. Recession usually follows a boom, and precedes a depression. It is characterized by rising unemployment and falling levels of output and investment.
www.ipaconsulting.com/Library/r.asp

A significant decline in activity spread across the economy, lasting longer than a few months. It is visible in industrial production, employment, real income, and wholesale-retail trade. ...
investor.cisco.com/glossary.cfm

As reflected in the gross national product, a decline in economic activity in at least two consecutive quarters.
www.thrasherfunds.com/learn/glossary.htm

Shouldn't several of these have been applicable long ago?

In two years? 2010? What makes you think that?

No, I would wait a few months... This time next year you will be able to buy a trunk-load of gucci bags for the price of one gucci bag today

 

In Usa this crysis/recession was not in late 2007, but early 2007. Just when were talk about subprimes. So I expect in next 6 monthes all will be ok.

 

It isn't just the USA. The whole world is in recession... and it will be harder during 2009.

 

Are you seriously expecting that?

 

What do you expect? It's a country where corporate criminal CEOs get a $200 million dollar retirement package, and football players make up to half a billion dollars a year to play a kid's game.

 

yes, 1.5 years already, so why 1-2 years again ? way too much

 

markn26, that are bad examples, ceo and football players get paid tens of millions and more.

become ceo or footballer and your jealous mood will go away