Economy Getting Better?

[McGeesEquip]

many speculators think we are seeing the mother of all "dead cat bounces" in the stock market and that the economy will indeed fall back for a second (double) dip....

...the looming inflation is/was as predictable as the sun rising in the East...

I too believe we will soon be seeing a double dip in the markets.

With our unemployment still between the 9's and 10's our markets are more then likly just getting ahead of things.

It appears that our producers of raw material and goods are just trying to stay ahead of the inflation yet to come. With producers of goods saying to expect price increases of 5% and better that will leave may customers waiting until a better buying market.

I'm currently in the process of expanding my inventory lot for more equipment. We recently hauled off a lot of scrap steel. Scrap steel around these parts are bringing $11.00 a 100. I got some more scrap that I will sure be hauling off to take advantage of the scrap steel prices.

In the process of expanding my lot, I've been having a lot of dirt hauled in and doing a lot of dirt work. I've been doing so much dirt work around here that I've been having dirt pit owners coming by to compete for my business.

I guess what is ironic about things is as the prices of raw material and steel goes up, it appears that the price of the ground that we walk and live on goes down. My dirt buying started at $85.00 for 15 yards load, and now it's below $50.00.

 

[mmurphy]

Had not been too many years ago, stocks and profits looked great, than the same people cashed in on their stocks and told the real story.
With costs inflating more than income, I do not see any chance at the moment of even thinking about new products that are not 100% needed. I believe spending out of wishes kind of got us in this problem.:2cents:

 

[jonyyuma]

I wish dirt was that cheap around here, as I need some more, I pay $125. per load..

 

[jonyyuma]

The Bush administration didn't do us any favors, but the Obama administration has the economy in a tailspin. The so-called "indicators" are smoke and mirrors. Unless and until the business sector is released from oppressive governmental financial and regulatory restraints, it's not gonna get any better.

Simple algebraic formula: USA - Obama = financial recovery

//greg//

Bush was not great leader, but I believe if you look he had a democratic congress setting up a lot of our problems back in 1997? As is free type loans on housing.

 

[/pine]

The Bush administration didn't do us any favors...

The only effect the previous administration's policies had on the financial downfall was "freedom"...

The freedom to buy houses that are well above ones means to pay for.

The freedom to run up massive credit card debts on top of the huge mortgage payments....

The freedom for bankers and real estate professionals to take advantage of and sell houses and lend money to families that can't afford them in the first place....

IMO the spending (and printing of currency) by the current administration could possibly cause the highest inflation this country has ever seen and will overshadow the financial crisis itself....The cost of groceries, fuel and other consumer goods are will continue to rise.

 

[mmurphy]

The only effect the previous administration's policies had on the financial downfall was "freedom"...

The freedom to buy houses that are well above ones means to pay for.

The freedom to run up massive credit card debts on top of the huge mortgage payments....

The freedom for bankers and real estate professionals to take advantage of and sell houses and lend money to families that can't afford them in the first place....

IMO the spending (and printing of currency) by the current administration could possibly cause the highest inflation this country has ever seen and will overshadow the financial crisis itself....The cost of groceries, fuel and other consumer goods are will continue to rise.

And do not forget the "Freedom" of corporations not going belly up!

 

[EddieWalker]

The only effect the previous administration's policies had on the financial downfall was "freedom"...

The freedom to buy houses that are well above ones means to pay for.

The freedom to run up massive credit card debts on top of the huge mortgage payments....

The freedom for bankers and real estate professionals to take advantage of and sell houses and lend money to families that can't afford them in the first place....

IMO the spending (and printing of currency) by the current administration could possibly cause the highest inflation this country has ever seen and will overshadow the financial crisis itself....The cost of groceries, fuel and other consumer goods are will continue to rise.

Bush tried three times to stop this but was stoped by the Dems with a threat of filibuster. While I fault Bush for not maning up and taking care of a well known problem, you really have to go back to Jimmy Carter for the beginnings of the housing bubble and giving out loans to those who were never qualified for them. Regan let it slide, and that was a mistake. He never had the House or the Senate, so everything that he did get through was a massive battle. He didn't win all of them. Bush 1 wasn't much of anything and really let things get out of control with interest rates and inflation.

Clinton got that under control, but really expanded on the lending to those who didn't qualify for the loans. It started out with low income people and worked its way up to everyone.

What I feel was the death of the housing market was in the relaxing of the laws in refinancing and taking out equity in a house. The changes to those laws allowed people to use their house as a credit card. Once that started, and others were able to spend more on a house with the same income, it was a train wreck waiting to happen.

I sold my house and quite my job in 2002 because I knew it was a bubble and just a matter of time until the price of a house collapsed down to what they are really worth. I was a year or two early, but it is exactly what happened. Find somebody who lost a house that didn't have a second or had refinced and took cash out of their house. Their stupidity and greed caused the collapse, but Clintons changes that allowed this so he could get more votes is why we are where we are today.

Eddie

 

[bstrom]

I don't think anybody really knows if it's getting better. Guess what? The president doesn't really control the economy. He can talk about it but that's about it. The Fed with it's monetary policies and Congress with legislation tries to control it but it's kind of a crap shoot. The banks and Wall Street got out of control and that sure didn't help things. Nothing has really changed in that dept. The economy is really affected most by the psychology of the masses and world markets and what the financial industry has been up to. That said, I think we need some new industries in this country, we need to be the leader in creating new industries like we have always been but sadly that isn't really happening. China and other countries are taking the lead there as well.

I sure hope it works out for us though and we continue to be a great country for all of us with our diverse opinions and beliefs to live and work in.

 

[Dogballs]

Our unemployment rate wouldn't be so high if the benefits of being unemployed weren't so great....I laid a guy off two years ago because he was a bum and he's still collecting unemployment and laughing about it. There are jobs available here, but he won't work because he gets paid just as much to sit at home and watch TV.

Handouts equal votes, and the current administration is doing everything possible to get re-elected.

 

[greg_g]

Our unemployment rate wouldn't be so high if the benefits of being unemployed weren't so great.....

Yup. When I was young, no body called it the UNemployment Office. It was the Employment Office, and it's where you went to FIND work - not to get (over)paid for NOT working. The system is broke, and is just as stupid as paying farmers NOT to grow crops.

If there comes a day when sensible politicians actually make up a majority, we might actually get employment back on track, and hopefully see unemployment/welfare programs slashed back to realistic levels. Entitlements my arse. Then once more citizens off the couch and start taking any job that puts food on the table and gas in the car - a lot of illegals will be heading back south too.

//greg//