Posted on 11/01/2009 4:38:31 PM PST by reaganaut1
Any number of pundits claim that we have now passed the worst of the recession. Green shoots of recovery are supposedly popping up all around the country, and the economy is expected to resume growing soon at an annual rate of 3% to 4%. Many of these are the same people who insisted that the economy would continue growing last year, even while it was clear that we were already in the beginning stages of a recession.
A false recovery is under way. I am reminded of the outlook in 1930, when the experts were certain that the worst of the Depression was over and that recovery was just around the corner. The economy and stock market seemed to be recovering, and there was optimism that the recession, like many of those before it, would be over in a year or less. Instead, the interventionist policies of Hoover and Roosevelt caused the Depression to worsen, and the Dow Jones industrial average did not recover to 1929 levels until 1954. I fear that our stimulus and bailout programs have already done too much to prevent the economy from recovering in a natural manner and will result in yet another asset bubble.
Anytime the central bank intervenes to pump trillions of dollars into the financial system, a bubble is created that must eventually deflate. We have seen the results of Alan Greenspan's excessively low interest rates: the housing bubble, the explosion of subprime loans and the subsequent collapse of the bubble, which took down numerous financial institutions. Rather than allow the market to correct itself and clear away the worst excesses of the boom period, the Federal Reserve and the U.S. Treasury colluded to put taxpayers on the hook for trillions of dollars.
(Excerpt) Read more at forbes.com ...
Well DUH!!!
NOBAMA is following FDR’s game plan to the LETTER... and 1 quarter does not constitute a RECOVERY.
As most of us are not insane we KNOW .. Follow FDR ..we’ll have a Great Depression like FDR.
Now, the problem... RON PAUL, because of his FOREIGN POLICY INSANITY, I cannot TRUST anything out of his mouth..
so if you want someone to listen to you... GET SOMEONE ELSE to be your spokesperson.
How 'bout HISTORY!!!!?
ping
WRONG.. most of us elected a known Marxist and uber radical as President..
Many many make a very good living from government largess..
Federal, State, County, and City governments have many employees, contractors, and sub-contractors of a hundred sort that are parasites on "some of the people"..
Its parasitical and incestuous.. as well as economically obscene..
PARDON ME
**WRONG.. most of us elected a known Marxist and uber radical as President..
Many many make a very good living from government largess..**
THAT “””US””” aren’t members of this group and wouldn’t even know how to FIND IT.
Doesn’t change the fact that my OPINION STILL STANDS,, and your’s is NOT GOING to change mine.
Save the Bandwidth with your PAUL TALKING POINTS that sound too damn much like the Talking points used by the FASCISTS in DC...
As the road winds into the future Ron Paul will be seen as a visionary, Swami and prophet concerning both foreign and domestic policies. Read it, it’s in the Constitution.
What might that be? Stop being world policeman?
I don't know if I would go quite that far. Granted, his foreign policy insanity makes him unelectable, but he is correct when he states the obvious.
Yes, the neo-con American Empire propaganda has taken a discouragingly deep hold among people who should be bright enough to start guessing that something isn't quite working out.
The problem I have with that statement is that there is considerable empirical evidence that 99% of the real, after-inflation return earned on stocks comes from reinvested dividends.
At the time period mentioned, dividend yields were sometimes 30% or more. Those who bought stocks and reinvested dividends broke even in a short 5-7 years, and actually made huge profits by the time the market returned to the same level in 1954, even when adjusting for inflation.
This is another way the financial journalism industry fails to help investors. You have to look at how much money is in your pocket as a result of your ownership. If you own a share of a private company worth $500,000 and it doesn't increase for 10 years but you received cash dividends of $1,000,000 over that time period, that was a really good investment. Yet, after inflation, the stock chart would show you lost money. That's a reporting problem.
This is especially a problem for companies at the top of the S&P 500, which pay out 50% or more of their profits in the form of cash dividends. Exxon Mobile sends nearly every penny in profit back out the door between dividends and share repurchases, so even a nominally increasing stock price should be satisfactory over time. The same with Wal-Mart or Coca-Cola or General Electric.
I have polled a large number of business people I know around the country. None of thinks that business is improving. None. Mot even a little bit.
**Stop being world policeman? **
LIBERAL MANTRA SINCE GW took the OATH...
Told you save your LIBERAL TALKING POINTS FOR SOMEONE who’ll FALL FOR THEM.
Funny...
I happen to live right down the road from Ron Paul...I have had many personal interactions with this elected official...
In 2002 at a local gun rights conference I sat down (open seating) at a table and Ron came in and joined me...On one side I had him,and on the other side I had Badnarik (libertarian candidate for POTUS ) on the other side of me...Talk about a sandwich...We had a great time talking about ALL the issues we could cram into an afternoon...And without converting to Libertarianism (snicker)...I learned a lot form that time about their positions on issues...
So even though I DO NOT support Ron Paul’s positions on some issues, I cannot throw rocks at all of them...Yet, I agree with some that I cannot support him for the top job...
I told both of them, and they were amiable to my position that I kinda like taking the fight to the bad guys...It is that simple...And if they cannot support my position, it does not hurt my feelings, but I know they both understoof fully where I stood on the problem...The agreement was mutual about how I felt about their position...
Thats why I know it will all come out of the wash smelling ok, in the long run...
I really appreciate the opportunities I have to interact with folks like Ron Paul, and find them extremely useful in defining and refining my personal conservative positions on issues...And even though I know for a fact we might not see eye to eye on some things, I know we can get down to brass facts, and discuss things that would help our community, our state and our country...In the long run...
My nieghbors seem to like keeping him around, so for the most part he doesn’t upset the apple cart as much as having to deal with a total whack job liberal, who I know I and many other Texas FReepers and conservatives would have a little more heartburn about...
But that’s just me...
I used to believe the same thing about Ron Paul and about his take on our foreign policy. I’ve been overcoming my programming, so to speak and just as I think he’s mostly right about fiscal things and I find I agree with him more about foreign policy.
Get a better spokesperson... If you want to win the rest of us over... it’s NOT GOING TO BE PAUL!!!
By the way...who is this "us" you are referring to? Most of the comments you've gotten are not on your side.
A couple of years ago, when 9-11 was still very, very fresh in my mind, I thought Ron Paul was nuts on foreign policy.
Since obama, Iraq and Afghanistan, I began to wonder if there might not be a better way for our Republic to handle foreign affairs, our borders and the dependents we've created in the world. For example, WWII has been over for a very long time...why are we still in Europe?
Back to the topic, the economy is not what obama and his minions are saying it is. I trust Ron Paul more than any of them. Attack him all you want, but he's been fairly accurate so far.
**Doesn’t change the fact that my OPINION STILL STANDS,, and your’s is NOT GOING to change mine.**
Which part did you not understand??
I have no problem with the assertion that the U.S. economy grew at an annualized rate of 3.5% in Q3 2009, provided the reader or listener is reminded that the GDP here is denominated in U.S. dollars. I just hope the folks who want to call this “green shoots” realize that in the same period, the U.S. GDP shrank at an annualized rate of 9.5% measured in Japanese yen.
You responded to the wrong idiot..
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