Posted on 08/22/2015 4:42:37 AM PDT by HomerBohn
On the other hand, I don't think any rational person thinks our economy is good---it's the least bad of most. We know the unemployment numbers are a joke. We know regulations and taxation are choking the life out. But most of all we know there is no long-term confidence in the gubment because of ZEro and his anti-American policies.
There is a great, probably key, element in any economy which is confidence. FDR's PROGRAMS did nothing to arrest the collapse (largely gubment caused) of the Great Depression, but his confidence I have to grudgingly admit restored hope that things would eventually get better. They didn't because the policies were bad, but if you combine confidence with decent policies, things can turn on a dime.
In the San Francisco earthquake, ALL the SF banks were closed. Their vaults were too hot to even get into due to the fires. The governor ordered all banks closed. A. P. Giannini of Bank of Italy ignored that decree, went down to the wharfs, and began offering loans. He took in more than he loaned because people had confidence in him, and his bank became the biggest in CA (now Bank of America).
First Security Bank in Utah was one of the few banks anywhere to survive the bank runs of 1932 through psychology where on day one they stalled and delayed by having tellers pay out slowly, double count money, etc. while they waited for cash reserves to arrive. But on day 2, they changed tactics and paied out as fast as they could and allowed no lines to develop, and by noon the run was over because they had restored confidence.
I don't know how long it would last, but I think a Pres. Trump would do wonders to restore confidence to the economic sector, far more than anyone else.
Their reign is over and im sure they have a scortched earth policy and I would hope they are held responsible for it
I really like what trump is saying and what he is bringing to the forefront. I confess, though, that he has what it takes to be the “strong man” in this:
http://www.zerohedge.com/news/2014-06-05/road-serfdom-cartoons
1. All government business regulations need to be subject to a financial audit to determine which regulations are unneeded and/or obsolete and should be phased out. Just this change would save American business TRILLIONS of dollars per year in compliance and economic opportunity costs.
2. The Federal tax code needs a MASSIVE overhaul. We should start with the very simple flat tax that Steve Forbes proposed in 1996, and then in 3-4 years' time phase out the income tax altogether in favor of something like FairTax (H.R. 25/S. 155). Such a change would free up hundreds of billions per year now spent on tax compliance and bring back most of the $15 TRILLION in American-owned liquid assets now sitting in foreign financial institutions for tax avoidance reasons, bolstering our banks and equities markets.
3. Maybe it's time to re-impose the 1933 Glass-Steagall Act so banks can't invest their funds in equities markets. Remember, the 1987 stock market crash and the 1997-1999 Asian financial crisis had no significant effect on the US economy because bank assets were shielded from the ups and downs of the stock market. Imagine what would have happened in 2008 if Glass-Steagall was still in place--our banks would still be strong and stable even after Lehman Brothers collapsed.
The reason why Donald Trump is getting political traction (and Ted Cruz not far behind) is because both candidates understand the reforms I mentioned are very necessary for REAL economic growth. That's something that President Obama and presumptive Democratic candidate Hillary Clinton doesn't understand.
It IS different. I ‘m not going to go down the list but out world is in chaos and crisis and one man and his puppetmaster kicked it off in 2008. There is much speculation about the UN meeting with Pope Francis and the NWO er I meant heads of state in late September
...so far I have not received any emails from anyone who believes the meltdown will never happen. The only points of disagreement are on the trigger event and the speed at which the meltdown will unfold.
Agreed. I have speculated before that a world wide catastrophe will happen in a series of cascades. The first time I recognized an imminent collapse, I was in denial. I speculate that this will happen to the vast majority of Americans, perhaps the Western world. This era of denial will force a just-another-day reaction which will delay an all out rush to the banks and grocery stores. Then again, what do I know!
What’s with this sour economic mood? Whenever I turn on Bloomberg radio all I hear is happy talk.
Where’s that .gif of Barky smiling and nodding his head?
I’m reading the Harbinger right now. This is sounding familiar.
There have been quite a few economists and market experts that have been predicting a crash for the 4th quarter. Whether one believes that they are right or not, many do believe them so this in itself will have an adverse effect on the outcome. The MSM has the lowest credibility ever, so when someone there says that this is a huge buying opportunity, their credibility goes down even more. No one is really believing the government employment and GDP numbers anymore, so statements(lies) from government officials aren’t going to help either.
I would think that shorting fracking companies, entertainment, airlines, higher end store retail would make sense. The volatility index is probably also going up. The little bounce next would make buying shorts a better deal getting in.
It’s almost impossible to predict when something will happen when someone else is planning it.
The end game is going to be certain business are too big to fail so govt will become their partners somewhat like GM.
What a coincidence Little Miss Hillary was impressed with the idea of govt and business being partners when she and B Clinton were in college with Robert Reich.
the plan for obama’s reelection begins
They can’t significantly raise interest rates ever.
The Government can’t service the debt payments if they do.
It would also collapse the housing market.
With 0% interest rates they are essentially stealing all the interest from savers and they still can’t balance the budget.
Good grief! Just came from the store! Prices going up and sizes getting smaller. Nothing new, but just last week the coffee we bought was $8.99 for 27.8ozs ($7.99 on sale!) This week, same brand, same store - the price is $10.99 for 24.2 ozs! Same with the store brand noodles we usually buy. Costs more for 12 ozs - now $1.75 - than it did for a full pound. The full pound is now $2.26. It used to be $1.25 for a lb.
Where’s the hero of the stupid ? Mooselimb Soetoro? All hat, no cattle.
All commodities have dropped substantially, copper being the most well known, and not bought and sold with dollars. We have not repealed the business cycle and after seven years of massive debt creation and QE, creating huge asset bubbles, the time has come for them to pop.
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