Posted on 07/13/2008 3:31:33 PM PDT by Sleeping Freeper
I am in consumer healthcare marketing. I built the data assets when times were good and ran a profitable venture without much outside funding. Many marketers are pouring into this space as a hedge so not too bad of shape but it sure has been a long year.
I saw the big money guys liquidating mortgage holdings en masse in May and June of 2007 while telling the public little or no chance for recession. I crunched a bunch of numbers in June and began telling my friends and family at the time chance of recession was 100%. Chance of depression was 50/50 by 2011. I began working 14 hour days, my wife hated me that summer!
But the bottom line is this: Move closer to the money. That right now may appear to be commodities but this will deflate also so it is short term play. Energy, Healthcare, Higher Ed and Tech (tech which makes companies more efficient) should be considered. Agriculture will be big but that is prone to a lot of red tape so unless your going to buy a farm and grow soybeans, to me not worth it.
And all the "let 'em fail" moralizing ideological "capitalists" have no idea what they are advocating.
The dollar could easily fall by a factor of 10 inside of 6 months, as foreigners refuse to throw decent money after bad. We have to borrow $700 billion a year to tread water. Oil exporters, and various hostile states, are the ones who actually have it. They hold oh, about $1 trillion in agency paper, for example.
If they stop buying and the dollar implodes, you can have your savings account, and all the confetti you want, also. You just won't be able to buy anything with it. Meanwhile, all our real assets will be owned by Russians and Chinese and Arabs.
You can call that "safety" if you like delusions. I don't.
so everyone should just dump ALL their money into stocks and “purchased” investments and buy big screen tvs so the economy just keeps getting bigger and bigger so no one loses their jobs or suffers major currency devaluation.
Then we can have a whole nation of debtors leveraged to the hilt in the precious hope that we can repeal the business cycle and there will be no crash.
Yeah, that makes sense. Much more sense than, say, taking a tortoise as opposed to a hare approach to economic development.
We aren't poor. Some of us lending to others won't suffice to make us poor.
There have always been business cycles and there always will be, they are utterly normal. Breathless charlatans crying doom are also always with us. And they are fools.
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