Buffett called it: Recession

[Bandit]

None of that particular nonsense was around in the 1920's.

(Will it be over in a year?) Last time I read anything about it, the consensus was that it would be ugly and long. I think a year would be too short a time to re-group.

But you know it is the wealthy who are doing that. They lost interest in their country and gave their country (the peoples income) to China for money. If they can make it cheaper there, of course they will. Sell a bridge that takes tolls. I kept saying that eventually this would backfire on the economy in the USA and it has finally caught up.
This is probably the biggest factor.

A Depression of the sort that hit the US and the World during the 30's would most likely never happen (in the same way) due to Government participation in the Economy through regulationand so on (FIDIC). Those who wish total de-regulation are actually just asking for a Depression. Each generation seems to find fun and easy ways to get around the rules. Remember the collapse of the Savings and Loans of the 80's. That was because they were unregulated.

The only part of this that I would add is us going into depression if we were to go to war some more and say many other countries go into war at the same time. The serious depression was like you say more world wide and not just in one area.

I also think that our nation is slowly collapsing from the inside (different from the great depression) to the outside and that it would not take much, say another 911 attack on us (WAR), would really throw us into a pit. I do agree we are prepared in the ways you mention but in other ways we are not- there are just too many issues today that did not exist then to have to factor in.

When I look at the timeline of events from the 20's to the 40's it is real scary because you see some of those things happening today but in a different order and not on such a grand scale. It has maintained itself because things are very regulated. Bad bank policy and bad political decisions were other factors.

I have enjoyed reading your posts because they really get me to facing things things I try to hide from. I would rather be prepared for the worse case scenario but as it is, that is not possible (for me).
We have more now than we did then, does that mean we have more to lose? or does it just mean we need to make adjustments?

[Bandit]

okay I couldn't take it. I had to look up when past recessions have been and how long they have lasted.


2008 ? - 7 years since previous recession

The one you are looking for is right now. You wont see it on a chart until maybe next year. Isn't that 7 years from 911? That chart is interesting because it shows that it happens more often than I realized.

I think what people are saying about this one is that it is going to be a real bad one and rather than to be afraid, be prepared.

[One Half Full]

I have enjoyed reading your posts because they really get me to facing things things I try to hide from. I would rather be prepared for the worse case scenario but as it is, that is not possible (for me).

Why thanks Bandit. That was nice of you. I am certainly facing a lot more these days than I used to. What I have been learning is that they control us by fear and keep us in FEAR. To live without fear is hard only because we are so used to it.

While it is good to prepare for the worst, simply expect that all outcomes will not be ideal, and will not be in your favor, but not that all hell will break loose. I'm not going to go off and start hording cans of soup. Democracy and Capitalism will not collapse.

The Wise investor knows when to run for the hills.

[chpxiii]

JollyGG, some of us are still recovering from the last one. I'm one of them. I've barely only started to save, and barely started to save for retirement.

[One Half Full]

In my lifetime every time I get a decent break, the economy collapses--

[HRx]

In my lifetime every time I get a decent break, the economy collapses--

lol damn...stay postive!

[Minnymouth]

Yes, "TIMES ARE A CHANGIN"

The "good life" is not so good for many of us anymore. Prices keep going up on EVERYTHING, but our paycheck doesn't increase to even begin to cover it.

Those on fixed incomes have to reorganize and regroup their way of living to survive. Many do without things they had before.

People think twice before buying "big ticket items", like homes, new cars, replacing furniture, etc. Many go without medical insurance because they just can't afford it. It's a choice between paying the mortgage, electric, food and having medical insurance.

EVERYONE needs to have an emergency fund if at all possible. Enough to sustain them at least 3-6 months if hard times hit them. Yes, its hard to do but you can if you work at it little by little.

Many jobs are cutting back right now, hiring without benefits, working people parttime only. The companies KNOW how to cut the corners. Everyday people need to learn how too also.

Many in our society are used to only the BEST, and having the BEST.... AND with that comes a high price tag.

One thing is for sure, we don't HAVE TO HAVE the new cars, the most expensive homes, the swimming pool in the backyard, etc.
Most of us have to have the BEST IN ELECTRONICS, HD TV, best programming, hi-tech computers, cell phones, etc. All these gadgets cost a great deal plus the hidden fees attached to all of them. One thing is for sure, they WILL NOT keep you warm or cool, will not fill your stomach, and will not keep the rain/snow off your head.

People now days have their priorities in the wrong place. They need to START with a roof over their heads, transportation, utilities, food, clothing, insurance, emergency fund, etc. Then worry about all the XTRAS with whatever is left. If they take care of the important things, there's not much Xtra left.....

Few are born into rich families, many get it by inheritance only. And some are fortunate enough and smart enough to manage to obtain great wealth with hard work and a lot of good luck.

Some folks WANT no more than they have right now. All they want to do is survive and get by in life with as little effort as possbile. Some want to live off the backs/hard work of others.

In our society right now, even some of the so called rich have become middle class citizens. And many middleclass are now considered poor. And poverty is gradually becoming a part of lots of peoples lives.

What is causing all this "recession".?? Jobs are going overseas, companies are leaving the US and shipping things back in, companies are no longer offering benefits, and cut working hours to partime jobs. Many folks will not work any longer, and illegals are doing the jobs they used to do.

When was the last time you looked at what you buy? Does any of it have a "made in USA" label? Even the food items... packaged, fruits, vegetable, canned goods, much of it is produced outside the USA.

Cheap from other countries, MEANS no jobs in the USA!

International trade can be good, until it is so unbalanced that goods from the USA are never sold on foreign markets. We import a great deal more than we export.

Ten years ago a good home was $100,000 and considered expensive. Now the same home will sell for $3-400,000. No difference in the home, just a difference in the price!

Now with all the foreclosures, etc, that $300,000-$400,000 home is dropping its value rapidly. Some won't even sell marked down to half-price. New homes on the market are sitting empty deteriating rapidly.

Whats to become of all this? No one is really sure! One thing is for sure, is that if US citizens don't get off their butts and get our society back on the right track, the future of our children is going to be very bleak.

Education is great, but if you can't USE IT, it's wasted.

The USA and the quality of our country was not built on jobs overseas, companies that moved overseas, and people who wouldn't work for a living. It was built on the backs of people who worked hard, had a dream, and made their dreams come true.

As to our Senators, Congressman, and State officials. Many of them are really out of touch with everyday "joe", and his way of life. You don't hear of a "middleclass" person holding down high offical offices anymore. Only the rich compete!

The will NEVER be a "poor president" again, or a president for the people! The rich presidential competitors can "say all they want", but they are totally out of touch with "everyday living" for most folks. Just as the Queen of England is out of touch with her commoners!!

Whats to be done to change all this................????????

Yes, a recession is upon us... it's been pretty clear for the last few years. And its only getting worse.

Could we have a depression, very easily.

OUR COUNTRY is "falling apart" from the inside out and we as a nation are letting it!

How we can "change it", make it better, only God knows!

But I don't like what I see coming our way............ its not gonna be good!!!

My thoughts today..............

[One Half Full]

rambling

I agree that the main problem is costs that keep going up. The only problem here is that the country is based on consumers buying things. Once they go into their caves and stop buying "extras," that is when the recession or depression starts. Living on a "survival" level will not keep the economy rolling. People not having enough to buy "American Manufactured" products causes those companies to cut corners and get them produced in cheaper labor markets so that Americans can afford them. In other words, not buying things is the cause for American companies sending their work overseas. The same goes with overhead costs and paychecks for "skilled" laborers. The IT (Information technology) trade caused its own demise by over-pricing itself. There are still many highly skilled programmers and so on in this country, but mundane tasks like "help desk" jobs are sent to India where people are highly skilled and will take less money than Americans.

What is causing all this "recession".?? Jobs are going overseas, companies are leaving the US and shipping things back in, companies are no longer offering benefits, and cut working hours to partime jobs. Many folks will not work any longer, and illegals are doing the jobs they used to do.

I would blame the housing industry more than "shipping jobs overseas." The average American cannot live off of the wages paid to a telemarketer at a call center, or a manufacturer, and Illegals generally take lower than minimum wage jobs. Jobs go oversea for the same reason illegals come here, because they are willing to take less money for the same work. When the housing market goes up, people need more money, comapnies need to raise prices, and soon less people buy because what they make is too expensive. Then they find a way to continue producing by cutting jobs and moving elsewhere.

When was the last time you looked at what you buy? Does any of it have a "made in USA" label? Even the food items... packaged, fruits, vegetable, canned goods, much of it is produced outside the USA.

Americans Demand peaches in February. We want to have everything that is available at all times. Thu, we need to get these grocery items from other countries (Its called Endless Summer). We are not competing with them, we are their market.

[BKOnce]

Soon, every other countries on earth will be EQUALLY rich & competitive living. America will be less and others will be more,...and 3rd world countries (i.e., china, vietnam, india, etc.) will exceed their expectations (military, space, high-cost living).

Cycles of this Life on Earth. No more super-powers for nothing!

[fred333]

That is very true. I think Asia has a great potential to influence the history of the world.

[Bandit]

Soon, every other countries on earth will be EQUALLY rich & competitive living. America will be less and others will be more,...and 3rd world countries (i.e., china, vietnam, india, etc.) will exceed their expectations (military, space, high-cost living).

Cycles of this Life on Earth. No more super-powers for nothing!

That is what is happening and you know who is doing it?

The 1% who own half of the wealth, they want their greedy little hands on all of the wealth & it does not matter how they get it.

[Bandit]

That is very true. I think Asia has a great potential to influence the history of the world.

Yep. Asia & India.

[Bandit]

How we can "change it", make it better, only God knows!

My thoughts today..............

That pretty much sums it up. but which God?

I can't think of anything I disagree on in your whole post because it is all true & well written.

Vote for Minnymouth for president!! Would you like that?
Hip Hip Hooray, we need change. ROFL!

[Bandit]

Since 911 it has been one big, long, monster recession for a lot of people.

I live on a very busy street but have noticed in the last 5 years on sunday & saturday nights, the traffic has dropped by half. That is really nice & quiet now but the reason for it is not nice or quiet.

[Minnymouth]

BANDIT - your so funny!!!!
Me for President.................well, I couldn't do any worse then the rest of them...... And at least I'm "poor" and got my head on straight!!! LOL

I'd have to deal in sign language, cause I don't speak foreign lingo!

And with my comment "only God knows"....... well, with so many different religions and beliefs, HOPEFULLY, we all believe in the same God or "Maker". We just go about it in a different way.

Me for President, doesn't sound bad at all!!!!

Who will vote for ME?? lol