Posted on 03/30/2020 8:08:30 AM PDT by DouglasKC
Have you noticed something?
There are a growing number of Americans who are in a panic about the economy.
Cries of "the economy will never recover if we're shut down too much longer" abound. Wails about "this will be worse than the great depression if it continues" are flooding social media.
This is despite President Trump's pronouncements that our economy will rebound quickly. President Trump believes that there is pent up demand that will explode once restrictions are lifted.
At least with the corona virus there was good reason to be concerned. It has ripped through other countries causing every government in the world to react in a similar way: institute measures to slow the spread so the medical system isn't overwhelmed. Every government has taken the calculus that doing nothing to combat the virus will hurt their economies in the long term. So they've taken short term economic pain to insure this doesn't happen.
Around the world and especially in the United States this strategy seems to be working so far.
Yet the panicky people who are worrying about the economy often look at the good results of what our government has done so far and say "See!! I told you the virus wasn't so bad!". They want to throw open the doors right now because they are fearful of what will happen with the economy if we don't. They have apocalyptic visions of President Trump presiding over a weak America while liberals gleefully dance on America's grave.
Yet stocks are once again on the rise. Investors are happy with what the President is doing to combat the virus AND for his vision of the economy. This is largely because before the virus broke President Trump had super-charged our economy. We were the strongest economically than perhaps at any other point in history...and we were getting stronger.
What happened with the virus has ONLY worked out in Trump's favor. It's now been proven that his vision of America first was absolutely correct. The virus has shown that we can't be dependent on China for manufacturing. It's not in our national interest. It's shown that we MUST control our borders and clamp down on illegal and legal immigration. President Trump's near daily press conferences have shown the American people that he's not the monster the news media portray him as.
Yet for all these positives those who believe that our economy can't take a two or three month slowdown are wringing their hands and screaming like little girls who have seen a spider.
As President Trump says this isn't going to stop us. We're going to bounce back faster and stronger than anyone can imagine...IF we follow his recommendations to combat the virus. If we let up too soon we're back to square one. If too many people figure they know more than President Trump does and flout his recommendations we're also back to square one.
Don't panic. Stick with the program that President Trump and his team have instituted to both combat the virus and keep the economy strong.
You can't find one post from me that even suggested that I was worried that everyone was going to die. The worry for every government in the world was that the sick would overwhelm the medical system. That is exactly why every sing le government in essence took nearly identical steps to slow it down.
Everybody has an opinion, and everyone's an expert. Like many other recently minted 'experts,' you don't seem to understand the difference between Wall Street and Main Street. Main Street businesses aren't listed on the NYSE.
I'm not an expert on the economy but President Trump is and he's surrounded by other experts. I believe him.
My job actually works great for home 95% of the time anyway so yeah I'm still working from home. I can easily live off 80% of my salary if it comes to that - I make very good money relative to the avg job, just means savings/investments will drop. We are the best positioned to handle this downturn of any hotel company given our guest mix, locations, and pricing, plus we have enough cash to last for over a year with no revenue coming in (we'd have to furlough most of the field, though).
Fine. And we were about a billion times stronger at the beginning of this then we were at the beginning of World War II...so why so pessimistic?
Matt Walsh said it very well: "The economy isn't a pound of beef we can freeze now and thaw out later."
This isn’t MMT...it is not funding government purchases, nor is it reducing the velocity of money...it is designed to put money into the system to chase goods and services and keep the payments on previous purchases as whole as can be, keeping them, and the people behind them, afloat in the short term. If you follow that with an additional stimulus in the form of a tax cut or tax holiday, you can ramp up economic activity on the other side of the crisis. This is not like WW2, where crisis debt funded increased government activity.
This is something you can do as the world’s reserve currency, and the currency everyone else in the world is desperately seeking to their hands. You think the demand for China goods and services is going to be skyrocketing coming out of this?
You are delusional...you are about where I was 3 weeks ago. You’ll see in a few weeks the economic devastation that this is causing and you’ll be about where I am now. Yes, Trump can say anything he wants, but the media will be against him 24/7/365 AND you’ll be looking at massive unemployment rates, period. THe odds of him being re-elected, IMO, have gone from 60-70% to 25% and if this goes through the end of APril - or worse longer - I give it a 10% chance, max. And that’s just if Biden goes completely senile.
Why, because jobs will just "magically' be there.
I am not as optimistic as you are. Half or more of people live paycheck to paycheck. I think the the first to get whacked will be the vacation rental folks. Many of those owners need renters to pay the mortgage. If this virus is still in the wild next winter, I doubt the elderly are going to make their snowbird trip...
Federal reserve printing $4t already + fed gov borrowing $2.2T for this. They are going to try MMT. What we’ll get out of this on the back side? Not sure, but it won’t be good.
What the federal reserve is doing is exactly MMT. Print $4 tril in one week to buy bonds of all types and likely another round of that coming in a month...maybe even buying stocks too. This is literally the definition of MMT. Get a clue.
For some people, the only reality is the one that exists for them.
Sweden and US rates are not significantly different. 398/million cases in Sweden vs 444/million cases in US.
Their neighbors are Finland at 244/million, Denmark at 486/million, and Norway at 806/million.
It will recover if a Republican is president. If the dems use this panic to their advantage, as they are trying to do, they will use the breakdown of the civil order to institute a New Order, communism. (But it will not be called communism. They like nice names, like Green New Order or some such horse$h!t.)
There is hundreds of billions waiting on the sideline to scoop up cheap real estate right now. Blackstone, etc is salivating at the prospect. Yes, I realize people live paycheck to paycheck, but the very high unemployment benefit + free money + etc will keep most people in their homes. Now, their second car, student loans and all that other stuff will likely go, but people will do what they can to not get evicted, and most have equity in their homes if they need to sell now anyway to get cash. I plan on buying 2 more rental properties myself if we see a sizable housing correction later this year.
Well, obviously...and well, no.
Mark my words: What I wrote previously will be Trump's campaign message. He will be reelected in a land slide.
Yes and what do you think that ‘fluid” is but mucous and ascites from damaged dead lung tissue...the previous poster just used the short hand everyday person’s view. The aveoli stiffen, get filled with gunk and the surface tension in the aveoli sacs changes so that o2/co2 exchange doesn’t easily occur or at all between pulmonary arterial capillaries to the pulmonary venous capillaries. The body suffers slow suffocation with a build up of co2. The body reverts to at large anaerobic respiration to meet glucose to atp needs for cell metabolic needs which produces increased lactic acid levels which damages the tissues...myoglobin levels rise,cpk(cytokines) rises, potassium levels rise due to increasing cell lysis, kidney and liver damage then onto death.
Yes they choke on their phlegm….but it’s a slow choke!
We’ll see. I wouldn’t bet your mortgage on that. The bad news has just started to come out and it will get worse. God help us if the bond market goes really sideways - the federal reserve can’t just print $4 trillion every week.
I'd do the same thing. Trying to make the best of a bad situation. But if I was spending my time applauding the government actions, regardless of how disastrous they may be to the majority of the population of the US, I'd expect some doubt about my motives being as pure as the driven snow while I'm bragging about profiting from competitors going under. I'd expect some doubt, regardless of HOW often I dragged out granny as a shield against any opposing viewpoints.
“You seriously have no clue. The media/dems WANT this shutdown - they know what is very likely to happen - this will drastically reduce Trump’s chance of re-election”
You are 100% correct. The media/Democrats (and some in here) wanted the economy stopped. When Trump (rightfully) voiced a desire to get the country started back up, they were screaming from the high heavens. Was it because the media and Democrats are compassionate and care about lost lives? Hell no! They were screeching because it risked doing LESS damage to an already heavily damaged economy.
Unless a person understands macro-economics it is impossible to explain this to them. They look around their immediate circle of influent and think “hey things are okay” but like a virus it will eventually get to them and their world will begin to implode. The freight train of economic reality is barreling down the tracks and picking up steam on a daily basis.
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