The Economy Thread

[sgreger1]

just for sgreger,

It's a very real scenario in a way. I've seen how things can change on the streets in a matter of hours or minutes when everyone hears news they didn't want to hear. I think it's smart for everyone to at least have some canned food stocked away, just enough for a few days (you can stretch it for longer if you need to), because if some incident happens that causes people to loot, you are kind of on your own for a few days untill stores resupply and civil unrest calms down.

Your water heater is the best source of water in an emergency, so you should automatically have enough water stored in there to let you survive for a week or more depending on the size of your family. (Remember to turn off the inlet valve so tainted water doesn't get in)


I don't think any doomsday scenario or sudden revolution will happen, but anyone (especially in earthquake ridden California) should be able to feed and hydrate their immediate family living in their household for at least a week in case of emergency. it's as simple as spending $50 on canned foods and rice. or, if you'r rich, MRE's are great too, but waaaay to pricey.

[Bigblue1]

http://www.ibtimes.com/articles/85424/20101124/china-russia-drop-dollar.htm

[sgreger1]

http://www.ibtimes.com/articles/85424/20101124/china-russia-drop-dollar.htm

Yah i just read that too. Not a good sign, but no the devestating blow that it is being made out to be. It's only for intra-china/russia trade, but still, that's a lot, and a sign that the dollar is becoming too risky for the big money players. Once OPEC jumps in, we'll be in trouble. Some countries have already moved away from using the dollar to trade oil.



Also, are you excited about the new iTunes having Beatles albums finnaly or what blue? (Your avatar)

[Bigblue1]

I already own about every song the beatles ever recorded and movies and I have the anthology on VHS. So doesn't matter to me. But good for those that can now get it if they want it.....

[sgreger1]

I'm amazed people are willing to buy from iTunes rather than ripping it from their cd collection.

[WickedKitchen]

Thought this pic would fit here.

[ratcheer]

Well, the economy is in the process of taking a new, big hit due to increased oil prices from the unrest in the middle-East. This will reduce our GDP, just when we were trying to pull ourselves up out of this stinking recession.

Tim

[snusgetter]

Thought this pic would fit here.
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Sorry, WK .... clicked on the attachment link and got this:

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Invalid Attachment specified. If you followed a valid link, please notify the administrator

[truthwolf1]

Well, the economy is in the process of taking a new, big hit due to increased oil prices from the unrest in the middle-East. This will reduce our GDP, just when we were trying to pull ourselves up out of this stinking recession.

Tim

I dont think we are going to pull ourselves out of anything. This is going to be the new economy for a long time and it is going to get leaner.

Some things that have just stuck in my mind from the last decade.

1) Selling my house which doubled in value in less then 5 years.
2) Inflated salaries for all types of work including my own.
3) Everyone and his brother living in the new big house driving the latest SUV with the new Boat, Personal Watercraft etc.. with ample amounts of credit.

Those years sure were great but I dont see a coming

Real Estate boom
Salaries adjusting for inflating prices in a already tight job market.
Ample amounts of credit so people can buy new homes and toys.

[WickedKitchen]

Maybe it'll work this way.

[snusgetter]

[ATTACH=CONFIG]894[/ATTACH]
Maybe it'll work this way.

YEP...

And of course Jose (the illegal?) saves the day again!

Does answer the age-old question:

How many men does it take to dig a bureaucratic hole?

[WickedKitchen]

I don't think things are going to get much better soon either. For a while at least. When I say that I mean financially. I think, in general, people will adapt to a good degree. I mean it's already happening in my community. I made the mistake (in a way) of moving into a town that is now a bit tight to live in. Thankfully I don't have a McMansion to pay for but the need to make some cake everyday will be around for quite some time. I've seen an uptick in people doing things that simply don't cost any money to do, or do things in ways that are more cost-effective. I think that it might be somewhat good for society as a whole that we move from this lavish lifestyle. People will spend more of their time with each other. The goods cost more so there will be less goods. I don't think that's a bad thing. We have too much today.

I just hope the transition is less than abrupt.

[sgreger1]

I dont think we are going to pull ourselves out of anything. This is going to be the new economy for a long time and it is going to get leaner.

Some things that have just stuck in my mind from the last decade.

1) Selling my house which doubled in value in less then 5 years.
2) Inflated salaries for all types of work including my own.
3) Everyone and his brother living in the new big house driving the latest SUV with the new Boat, Personal Watercraft etc.. with ample amounts of credit.

Those years sure were great but I dont see a coming

Real Estate boom
Salaries adjusting for inflating prices in a already tight job market.
Ample amounts of credit so people can buy new homes and toys.

Things will recover because they always do. For some reason, they always seem to come out stronger every time they recover.

Here's the philosophy behind the current administrations unprecedented spending levels unseen before in all of world history. The idea is that what FDR did worked and that the right path to take here is to spend endlessly to stimulate the economy until eventually it picks up. This worked in the great depression and subsequently after WWII, but that is because the industrial revolution was being kind to america and we were making lots of stuff and doing lots of manufacturing. This is a once in a lifetime boom and likely won't occur again. Yet it did happened again in the 90's during the dot com bubble, the internet was invented and we got another huge growth spurt.


I think the plan is to just spend as fast as possible in hopes that some huge world changing thing will eventually come along and pay for our deficits. This is how we have handled it in the past AND IT WORKED somehow. The problem is that we are essentially relying on future growth to justify our current spending, yet there is absolutely no way to guarantee something like the internet, the space race, or the industrial revolution will come around in the next 10 years to pay for all of this.


But keep in mind, it has worked every time in the past, so it may just work out that way this time. However, it is a bad idea to spend today based on the assumption that you will get rich in 10 years. This is an EXTREMELY risky path they have taken, because if "the next big thing" doesn't make America filthy rich in the next 10 years, we will not be able to pay for any of this and we will start defaulting on our credit. What this administration is doing is about what I would expect, but I think the long term reprocussions COULD (not will) be devestating. Luckily for Obama he will be long gone, and the 4 years where he spent trillions will look good compared to what will follow. A republican will get elected and inherit the newly devestated economy, and then we will start all over. The democrats will pass the hot potato to the republicans right as things crash (just like bush did to OBama). It's the average person who gets hurt in this political game they play for votes.

It's been all about who can be blamed for the damage, not about fixing the problem going forward. This is the problem with the current and former administrations.

[truthwolf1]

Yes, living/working through the dot com era was great but it sure did not last very long. It has been downhill since with job opportunity/salaries for many of us since then. The fault was over investing in the new technology and it not being profitable. Two pinks slips from two companies that went through that.

I agree that we always do pull out of it somehow wether it is innovation or a innovative war. Which might of been part of the goal of the war on terror?? many in that field are doing very well and it keeps the machine going to a point, but it is leaving many behind and not pushing us as a country economically forward.

The dollar which many believe will lose reserve status makes me worry as does the rising status of countries like China and India.

We will essentially have to share the power/resources which will obviously re-adjust Europe's and our standard of living.

[russki]

Things will recover because they always do. For some reason, they always seem to come out stronger every time they recover.

This is exactly what will happen. I've taken enough econ classes to have graduated with it as my major now, and if there is anything that I have learned out of all those god damn equations and theories, it is that the economy will always fix itself. It is always self-correcting, whether it is 6 months from now or 6 years.

It's been all about who can be blamed for the damage, not about fixing the problem going forward. This is the problem with the current and former administrations.

And we have a winner! Couldn't have said it better myself.