cosmo
Registered
Big slump....because no one can qualify for the loan and not take a bath on they're 3 year old home. Not to mention the $50k SUV they bought on a HELOC and didn't pay a nickel on
Recession
- Thread starter Dobieman
- Start date
cosmo
Registered
I live in the boonies of NorCal....current median price is $340k....down from $400k in 2005.Remember, he lives in California where a shack out here worth $15,000 is a Million Dollar Value in Kalifornia
Yeah, that's the big difference. I bought a 3000+ sq. ft. house on 6 acres for less than 200kI live in the boonies of NorCal....current median price is $340k....down from $400k in 2005.Remember, he lives in California where a shack out here worth $15,000 is a Million Dollar Value in Kalifornia
It includes 3 barns, a smaller shed/barn, and a 30X40 climate controlled workshop/garage(Busa stable). Also have a 2 car attached garage.
It's got another small garage that we use as a wood shed.
I'm not worried about housing slumps, of course I'm in one of the most wanted housing areas in the country(los angeles). There are always people with money wanting to buy here. My 1260sqft house on a 4000sqft lot built in the 50s, galvinized plumbing, 2 wire electrical, 3bed, 1 1/2 bath is half a mil out here.
Sure prices have come down some, but in a few years it'll go up again. Housing always moves up and down, up and down. But always averaging a movement upward.
As long as people buy TVs so they have one in every room, spend hundreds in cable bills, spend their free time in leisure instead of work, our economy is ok.
Sure prices have come down some, but in a few years it'll go up again. Housing always moves up and down, up and down. But always averaging a movement upward.
As long as people buy TVs so they have one in every room, spend hundreds in cable bills, spend their free time in leisure instead of work, our economy is ok.
What about the PMI I was required to purchase when I bought my home 12 years ago. I had to pay $30 a month more for mortgage insurance. Once I got the loan down to less I had it removed.
Are these new loans not required to have this?....if they did wouldn't the banks $$ be protected?
Are these new loans not required to have this?....if they did wouldn't the banks $$ be protected?
I honestly don't mean any offense with this post, but I'm not the most tactful person.
Your post shows a complete lack of understanding about the situation.
First of all the Gov isn't making the interest rate cuts. It is the Federal Reserve. Dispite the name, the Fed has absolutely nothing to do with the Government. It is a private company, one that is owned by international bankers. Many of these owners are not even American.
As well, oil prices have a much bigger impact than how much it costs to fill your tank. Almost every product you use has used some kind of petroleum product (either directly or indirectly) in manufacturing and transportation of goods. Oil is extremely, extremely important to the economy of an industrial nation. Simply "getting a hybrid" isn't going to change that.
This is truely why the war in Mid-east is so important. If you control the oil, you have the got the rest of the industrial nations by the balls. A simple example of this is Russia. Most people don't know why the USSR economy collasped.
"Soon after assuming office in 1981, the Reagan Administration abandoned the established policy of pursuing détente with the Soviet Union and instead instituted a massive arms buildup; it also fomented proxy wars in areas of Soviet influence, while denying the Soviets desperately needed oil equipment and technology. Then, in the mid -1980s, Washington persuaded Saudi Arabia to flood the world market with cheap oil. Throughout the last decade of its existence, the USSR pumped and sold its oil at the maximum possible rate in order to earn income with which to keep up in the arms race and prosecute its war in Afghanistan. Yet with markets awash with cheap Saudi oil, the Soviets were earning less even as they pumped more. Two years after their oil production peaked, the economy of the USSR crumbled and its government collapsed."
Lou Dobbs Article on CNN
President Bush's assurances that we'll all be "just fine" if he and Congress can work out an economic stimulus package seem a little hollow this morning.
Much like Federal Reserve Board Chairman Ben Bernanke's assurances last May that the subprime mortgage meltdown would be contained and not affect the broader economy. And it seems Treasury Secretary Henry Paulson has spent most of the past year trying to influence Chinese economic policy rather than setting the direction of U.S. economic policy.
There is no question that Bush, House Speaker Nancy Pelosi and Senate Majority Leader Harry Reid will quickly come up with an economic stimulus package simply because they can no longer ignore our economic and financial crisis. That economic stimulus plan will amount to about 1 percent of our nation's gross domestic product, an estimated $150 billion.
But all of us should recognize that the stimulus package will be inadequate to drive sustainable growth in our $13 trillion economy. An emergency Fed rate cut and an economic stimulus plan are short-term responses to our complex economic problems, nothing more than bandages for a hemorrhaging economy.
Bush, Pelosi, Reid and the presidential candidates of both parties have an opportunity now, and I believe an obligation, to adjust the public policy mistakes of the past quarter-century that have led to this crisis. And only through courageous policy decisions will we be able to steer this nation's economy away from the brink of outright disaster.
We all have to acknowledge that our problems were in part brought on by the failure of our government to regulate the institutions and markets that are now in crisis. The irresponsible fiscal policies of the past decade have led to a national debt that amounts to $9 trillion. The irresponsible so-called free trade policies of Democratic and Republican administrations over the past three decades have produced a trade debt that now amounts to more than $6 trillion, and that debt is rising faster than our national debt. All of which is contributing to the plunge in the value of the U.S. dollar.
At precisely the point in our history in which this nation has become ever more dependent on foreign producers for everything from clothing to computers to technology to energy, our weakened dollar is making the price of an ever-increasing number of imported goods even more expensive.
All Americans will soon have to face a bitter and now obvious truth: Our national, political and economic leaders have squandered this nation's wealth, and the price of this profligacy is enormous, and the bill has just come due for all of us.
Bernanke endorsed the concept of a short-term economic stimulus package, but he cautioned that the money must be spent correctly: "You'd hope that [consumers] would spend it on things that are domestically produced so that the spending power doesn't go elsewhere."
Just what would you have us spend it on? The truth is that consumers spend most of their money on foreign imports, and any stimulus package probably would be stimulating foreign economies rather than our own. Imports, for example, account for 92 percent of our non-athletic footwear, 92 percent of audio video equipment, 89 percent of our luggage and 73 percent of power tools. In fact, between 1997 and 2006, only five of the 114 industries examined in a U.S. Business and Industry Council report gained market share against import competition.
And let's be honest and straightforward, as I hope our president and the candidates for president will be: This stimulus will not prevent a recession. It may ease the pain for millions of Americans, but a recession we will have. The question is how deep, how prolonged and how painful will it be. Unfortunately, we're about to find out how committed and capable our national leaders are at mitigating that pain and producing realistic policy decisions for this nation that now stands at the brink.
President Bush's assurances that we'll all be "just fine" if he and Congress can work out an economic stimulus package seem a little hollow this morning.
Much like Federal Reserve Board Chairman Ben Bernanke's assurances last May that the subprime mortgage meltdown would be contained and not affect the broader economy. And it seems Treasury Secretary Henry Paulson has spent most of the past year trying to influence Chinese economic policy rather than setting the direction of U.S. economic policy.
There is no question that Bush, House Speaker Nancy Pelosi and Senate Majority Leader Harry Reid will quickly come up with an economic stimulus package simply because they can no longer ignore our economic and financial crisis. That economic stimulus plan will amount to about 1 percent of our nation's gross domestic product, an estimated $150 billion.
But all of us should recognize that the stimulus package will be inadequate to drive sustainable growth in our $13 trillion economy. An emergency Fed rate cut and an economic stimulus plan are short-term responses to our complex economic problems, nothing more than bandages for a hemorrhaging economy.
Bush, Pelosi, Reid and the presidential candidates of both parties have an opportunity now, and I believe an obligation, to adjust the public policy mistakes of the past quarter-century that have led to this crisis. And only through courageous policy decisions will we be able to steer this nation's economy away from the brink of outright disaster.
We all have to acknowledge that our problems were in part brought on by the failure of our government to regulate the institutions and markets that are now in crisis. The irresponsible fiscal policies of the past decade have led to a national debt that amounts to $9 trillion. The irresponsible so-called free trade policies of Democratic and Republican administrations over the past three decades have produced a trade debt that now amounts to more than $6 trillion, and that debt is rising faster than our national debt. All of which is contributing to the plunge in the value of the U.S. dollar.
At precisely the point in our history in which this nation has become ever more dependent on foreign producers for everything from clothing to computers to technology to energy, our weakened dollar is making the price of an ever-increasing number of imported goods even more expensive.
All Americans will soon have to face a bitter and now obvious truth: Our national, political and economic leaders have squandered this nation's wealth, and the price of this profligacy is enormous, and the bill has just come due for all of us.
Bernanke endorsed the concept of a short-term economic stimulus package, but he cautioned that the money must be spent correctly: "You'd hope that [consumers] would spend it on things that are domestically produced so that the spending power doesn't go elsewhere."
Just what would you have us spend it on? The truth is that consumers spend most of their money on foreign imports, and any stimulus package probably would be stimulating foreign economies rather than our own. Imports, for example, account for 92 percent of our non-athletic footwear, 92 percent of audio video equipment, 89 percent of our luggage and 73 percent of power tools. In fact, between 1997 and 2006, only five of the 114 industries examined in a U.S. Business and Industry Council report gained market share against import competition.
And let's be honest and straightforward, as I hope our president and the candidates for president will be: This stimulus will not prevent a recession. It may ease the pain for millions of Americans, but a recession we will have. The question is how deep, how prolonged and how painful will it be. Unfortunately, we're about to find out how committed and capable our national leaders are at mitigating that pain and producing realistic policy decisions for this nation that now stands at the brink.
Dobieman
Registered
Capt are you still denying that this is a recession?
Whats your take on that article?
I say anyone who thinks we are not already in a recession take a look at your investments, 401K etc and see whats happened. This US recession has now spilled over into the global economy as the foreign markets got hammered earlier this week on US economic news. Show me major economic sectors or indicators that are doing well?
Finance - in the gutter
Housing - right there with finance
Fuel - high for this country and tied to cost of everything.
Cost of living - rising above wage advances
Unemployment - rising
Stock markets - bears are at a picnic, the balance of millions future / retirement in the balance.
US Dollar - weak and getting weaker
Sheesh people in other countries can see the US is in trouble and its effecting what they trade (import) to the US and in turn causing foreign market declines
Whats your take on that article?
I say anyone who thinks we are not already in a recession take a look at your investments, 401K etc and see whats happened. This US recession has now spilled over into the global economy as the foreign markets got hammered earlier this week on US economic news. Show me major economic sectors or indicators that are doing well?
Finance - in the gutter
Housing - right there with finance
Fuel - high for this country and tied to cost of everything.
Cost of living - rising above wage advances
Unemployment - rising
Stock markets - bears are at a picnic, the balance of millions future / retirement in the balance.
US Dollar - weak and getting weaker
Sheesh people in other countries can see the US is in trouble and its effecting what they trade (import) to the US and in turn causing foreign market declines
Honestly I still think we need to define what is a recession..... I said it before people have been milking the housing market for years how long did everyone think that was going to last... Scottie said something earlier that hit a good point, gasoline is a byproduct, foams and plastics which most are petroleum based come from oil too... Gas for your cars is one thing, all the TV's and plastic everything else has to stop too... (Never gonna Happen).... I call BS on the financial market once again it has been banks with bad practices loaning money out hand over fist so they could bring in that APR on credit cards and loans... OVER EXTENDED comes to mind.....Capt are you still denying that this is a recession?
Whats your take on that article?
I say anyone who thinks we are not already in a recession take a look at your investments, 401K etc and see whats happened. This US recession has now spilled over into the global economy as the foreign markets got hammered earlier this week on US economic news. Show me major economic sectors or indicators that are doing well?
Finance - in the gutter
Housing - right there with finance
Fuel - high for this country and tied to cost of everything.
Cost of living - rising above wage advances
Unemployment - rising
Stock markets - bears are at a picnic, the balance of millions future / retirement in the balance.
US Dollar - weak and getting weaker
Sheesh people in other countries can see the US is in trouble and its effecting what they trade (import) to the US and in turn causing foreign market declines
What the other countries are seeing is that they depend ALOT on the US economy... Ya know us buying those big screen TV's and electronics and the sporty shoes..... All the IPhone's and sports cars...
Unemployment, I can tell you that the company I work for has openings in LA, Arkansas and OKC for high paying jobs..... Cost of living is driven IMO by supply and demand.... If you dont want to pay more for a phone then I would suggest you not wait in line on the first day the IPhone is released. when demand drops so will the price....
I just dont get it..... Everything can't be that bad..... I think people are confusing a recession with the leveling out from a high... EVERYONE new that the housing market was going to come back down, does that make it a recession or simply a realignment. All of the companies that over extended or tried to ride the wave all the way in are getting caught, its just like musical chairs... the last one standing isnt always a good thing... Those companies have been raping and pillaging US citizens for billions in finance charges and fees, they stayed in too long IMHO. Now..... with that realignment will come other jobs to deal with all of the companies that tried to take too much.
As long as the oil companies have folks to drive cars then they will continue to charge what they want.... Until the American citizen is willing to send a long term message to them nothing will change...
When people start giving up things like ATV's riding lawnmowers, off road motorcycles, you know non essential cumbustible engine things that use gas then messages will start to be sent... When people stop going on vacations, going out to eat, give up that weekend motorcycle ride then a message will be sent... Until then nothing will happen.......
cap
So what is american made in;
Audio video?
Computers? ??Microsoft/Apple/Dell??
Sorry but I'm not trading in my Busa for Buell.
The rebate for me would go towards cc debt. Don't know if that'll help the economy or not... I guess it would some. It'd allow me to pay off my debt quicker allowing me to do more trackdays.
At least my contributions to trackdays is mostly American "made". Except tires/gas...
As for gas, who knows if buying American gas is better or not. If we use foreign gas, we save our domestic gas for later. As long as we don't export gas.
Audio video?
Computers? ??Microsoft/Apple/Dell??
Sorry but I'm not trading in my Busa for Buell.
The rebate for me would go towards cc debt. Don't know if that'll help the economy or not... I guess it would some. It'd allow me to pay off my debt quicker allowing me to do more trackdays.
At least my contributions to trackdays is mostly American "made". Except tires/gas...
As for gas, who knows if buying American gas is better or not. If we use foreign gas, we save our domestic gas for later. As long as we don't export gas.
cosmo
Registered
Recession:
A recession is a decline in a country's gross domestic product (GDP), or negative real economic growth, for two or more successive quarters of a year. A recession may involve simultaneous declines in coincident measures of overall economic activity such as employment, investment, and corporate profits. Recessions may be associated with falling prices (deflation), or, alternatively, sharply rising prices (inflation) in a process known as stagflation.
A recession is a decline in a country's gross domestic product (GDP), or negative real economic growth, for two or more successive quarters of a year. A recession may involve simultaneous declines in coincident measures of overall economic activity such as employment, investment, and corporate profits. Recessions may be associated with falling prices (deflation), or, alternatively, sharply rising prices (inflation) in a process known as stagflation.
Regarding the price of gas, I've felt for a long time that our economy has been bleeding along at the breaking point for the price of fuel. It was just a matter of time before we ran this horse to the ground.Fed cut the rate 3/4 point today in an reaction to the global market meltdown yesterday. The Fed meeting wasn't scheduled until next week. This is a panic move and I am glad they did but can the Fed really stop recession?
Can GW's stimulus plan?
Getting queezy in my stomach here
Hey, I'm sure our buddies on the sandy side of the globe would be happy to buy us out completely of our remaining assets.
At what point do we cut the crap and begin expanding our own oil fields?
You make a good point that we need to define a recession.Honestly I still think we need to define what is a recession..... I said it before people have been milking the housing market for years how long did everyone think that was going to last... Scottie said something earlier that hit a good point, gasoline is a byproduct, foams and plastics which most are petroleum based come from oil too... Gas for your cars is one thing, all the TV's and plastic everything else has to stop too... (Never gonna Happen).... I call BS on the financial market once again it has been banks with bad practices loaning money out hand over fist so they could bring in that APR on credit cards and loans... OVER EXTENDED comes to mind.....Capt are you still denying that this is a recession?
Whats your take on that article?
I say anyone who thinks we are not already in a recession take a look at your investments, 401K etc and see whats happened. This US recession has now spilled over into the global economy as the foreign markets got hammered earlier this week on US economic news. Show me major economic sectors or indicators that are doing well?
Finance - in the gutter
Housing - right there with finance
Fuel - high for this country and tied to cost of everything.
Cost of living - rising above wage advances
Unemployment - rising
Stock markets - bears are at a picnic, the balance of millions future / retirement in the balance.
US Dollar - weak and getting weaker
Sheesh people in other countries can see the US is in trouble and its effecting what they trade (import) to the US and in turn causing foreign market declines
What the other countries are seeing is that they depend ALOT on the US economy... Ya know us buying those big screen TV's and electronics and the sporty shoes..... All the IPhone's and sports cars...
Unemployment, I can tell you that the company I work for has openings in LA, Arkansas and OKC for high paying jobs..... Cost of living is driven IMO by supply and demand.... If you dont want to pay more for a phone then I would suggest you not wait in line on the first day the IPhone is released. when demand drops so will the price....
I just dont get it..... Everything can't be that bad..... I think people are confusing a recession with the leveling out from a high... EVERYONE new that the housing market was going to come back down, does that make it a recession or simply a realignment. All of the companies that over extended or tried to ride the wave all the way in are getting caught, its just like musical chairs... the last one standing isnt always a good thing... Those companies have been raping and pillaging US citizens for billions in finance charges and fees, they stayed in too long IMHO. Now..... with that realignment will come other jobs to deal with all of the companies that tried to take too much.
As long as the oil companies have folks to drive cars then they will continue to charge what they want.... Until the American citizen is willing to send a long term message to them nothing will change...
When people start giving up things like ATV's riding lawnmowers, off road motorcycles, you know non essential cumbustible engine things that use gas then messages will start to be sent... When people stop going on vacations, going out to eat, give up that weekend motorcycle ride then a message will be sent... Until then nothing will happen.......
cap
A google-define of the word brings a variety of definitions. The most common seems to be something simular to "Two consecutive quarters of declining GDP."
At this point, the USA is not in a recession. However, that doesn't mean it can't have the same feeling as a recession. For example, the market crash in 2000 caused a situation that was simular to a recession, but was not technically a recession. From quarter 3 in 2000 to quarter 3 in 2001 there were three negitive GDP quarters out of five. Since, these quarters were separated by a quarter of growth it was not a recession.
Yeah yeah I got that... but lets look at it from a different perspective..... Let's say your income was 100.00 a month and it had been that way for years, one day your boss came in and offerred you 5.00 when you arrived at the door, he did this on his own for a year..... every day free money. You took that 5.00 and soon you started using it for lunch and you stopped bringing your lunch. If that same boss didnt give you that same 5 dollars for two quarters would that be a recession or things just getting back to normal. If you banked on having that extra 25.00 every week and you paid your MC insurance with that who is to blame for it? Your boss for giving you a little extra or you for over extending and living outside your means?
Different people will see this differetly I guess. Right now all the politicians are talking about it because it's a great topic to get the average American lost in a hurry... Take my financial plan no take mine... The media likes it because it sells and it's "Scary".
You mean you really believed the Politicians when they told you that
Don't want to insult you, BUT, as the witch said to the young lad, "JUST HOW OLD ARE YOU"
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