America's Broken Economy

[General Septem]

There's a new article at a site I visit frequently. Arthur states that the economy fell because we stopped saving, and that we should start saving again so that the banks will have money.

http://arthurshall.com/x_2009_economy.shtml

I'm not sure I agree with him, but what's everyone's thoughts?

[ballzack]

He's correct... IN PART.

IMO, a three pronged problem:

1.) Low Savings or NO Savings by 2/3rds of the American "middle class" that will soon be gone forever. Two classes left. Upper (the Aristocracy) and lower (the worker drones reliant on MaoBama - and that is exactly what he wants). Without savings, no bumper to make it through tough times, and HIGH borrowing on debts you can never pay back nor may not have any intention to when times get rough.

2.) Lowered standards for bank loans and mortgages because we had to be politically correct and FAIR to people that could NOT afford loans nor homes but heaven forbid if we did not loan them money they could not pay back!

3.) Gas Futures on high speculation put the final nail in the coffin. Many Americans were hanging on by their fingernails financially. When gas went to $4.00 per gallon, people had to buy gas and stop paying their debts.


and finally, the problem will continue because...

GOVERNMENT IS INTERVENING and MUCKING THINGS UP WORSE THEN THEY ARE NOW!

Most people think the stock market crash of the 20's caused the great depression. NOPE. It was GOVERNMENT INTERVENTION that caused the depression and made it last for years. The same thing is happening now. MaoBama loves it. He's gaining socialist standards via perpetuation the suffering.

Wait till cap and trade kicks in and you pay $4,000.00 more per year for energy. You'll vote his ass out of office then!!!!

-Zack speak truth, say Grog! ;)

This guy is going to make Carter's administration look like a walk in the park with a Golden Retriever!

[yee-haw]

Thanks general...
I shall have to check this site out more often.

I'm not so sure he's just not over simplifying the entire economy and it's state.
Comparring nowadays economy with the great depression is a very huge statement.
We can go on history, Like them we too will be rememberd for living through a very dark and turbulant time.
One thing i do believe is the same is how he touches on saving money...
They did it then for the same reasons we're doing it now "fear".
The only difference is, (and a big difference) there is no cold war and that generation
has set the ground works so that even in struggling times, You still atleast have an oppertunity
to go and seek out prosperity.
In my opinion, The elected officials have been the issue for a long while.
I don't think you can pin-point it on any certain thing, Just a metric fuck ton of bad decisions.
At last though, Very correctable.

[Montanarchist]

So people not saving money that Federal Reserve controls is the problem? Riiiight...

I'm with Zack 100% on this.

[General Septem]

Yes, I don't believe we should all go back to 3% returns just so the banks don't go under either. If they can't adapt to a new economy then they deserve to fail. Not making money when you could be making money is foolish.

I also agree with you, Haw, the economy was a clusterfuck which probably wouldn't have happened if it wasn't for any one of its many catalysts.

[MrJim]

I also agree with you, Haw, the economy was a clusterfuck which probably wouldn't have happened if it wasn't for any one of its many catalysts.

You bet it was. We are in an environment now where inflation threatens growth and any sign of growth sparks inflation ... on a GRAND SCALE. The mid-80's thru 90's must have been a fluke.