The economy...

[SP1966]

... we are all told continuously how bad the economy that Obama inherited was. Here's an interesting and oddly honest (given the source) look at where this problem really began. Cliffs: Bush too inherited a bad situation from his predecessor who's economic policies created these bubbles that have been busting all over the place.

The truth is often painful but nonetheless it is important that we live in the real world. Just as little kids have to come to grips with the fact that there is no Santa Claus, it is necessary for millions of liberals, including many who think of themselves as highly knowledgeable about economic matters, to realize that President Clinton's policies sent the economy seriously off course.

http://www.huffingtonpost.com/dean-b...b_2362845.html

[phikappa]

It boggles my mind why this stuff is so hard for people to understand. Without the internet, Bill Clinton might have been a one-term president. Do you remember things like Clinton's run at heath care and BTU taxes? Wouldn't it be nice to be able to create a market out of thin air every time you needed an economic boost? Well, you can only do that once. Opening up the internet lead to the tech boom, but it also lead to the tech bubble, which burst just as Clinton was leaving office (circa '99). So, Bush had to deal with that. Fortunately for Bush (and unfortunately), Clinton had enacted the CRA, which lead to a lot of the sub-prime lending in the early 2000's (I know, cuz I worked in the industry at that time). So the housing market helped soften the tech bubble. But, with the tech bubble and 9/11, Bush/Greenspan didn't have much choice but to keep rates low to fuel the economy. Combine the low rates and the CRA (with its loose standards), and this only exacerbated the housing crisis. Inflated home prices with homeowners who shouldn't have been given a loan in the first place...we all know how that turned out.

I don't know why this never gets communicated. All we ever hear is that Clinton raised tax rates and the economy thrived. Well, timing is everything! Bill has been grilled about CRA on CNBC's Sqwak Box before, which I guess is why he's not a frequent guest!

Oh well.

[SP1966]

It boggles my mind why this stuff is so hard for people to understand. Without the internet, Bill Clinton might have been a one-term president. Do you remember things like Clinton's run at heath care and BTU taxes? Wouldn't it be nice to be able to create a market out of thin air every time you needed an economic boost? Well, you can only do that once. Opening up the internet lead to the tech boom, but it also lead to the tech bubble, which burst just as Clinton was leaving office (circa '99). So, Bush had to deal with that. Fortunately for Bush (and unfortunately), Clinton had enacted the CRA, which lead to a lot of the sub-prime lending in the early 2000's (I know, cuz I worked in the industry at that time). So the housing market helped soften the tech bubble. But, with the tech bubble and 9/11, Bush/Greenspan didn't have much choice but to keep rates low to fuel the economy. Combine the low rates and the CRA (with its loose standards), and this only exacerbated the housing crisis. Inflated home prices with homeowners who shouldn't have been given a loan in the first place...we all know how that turned out.

I don't know why this never gets communicated. All we ever hear is that Clinton raised tax rates and the economy thrived. Well, timing is everything! Bill has been grilled about CRA on CNBC's Sqwak Box before, which I guess is why he's not a frequent guest!

Oh well.

Yes you do!

[mslman71]

Yes you do!

I know I know...

It's because Bush deregulated everything.

C'mon guys, maybe you need a refresher course

[whatevergirl]

Regardless of who points the finger, and who inherited what...there is still a lot of opportunity to be had, when the economy takes a down shift. A lot of small businesses have begun and thrived during a down economy. Much in the way of entrepreneur-ship thrives during a down economy.

Yes, there are things that the government can/cannot do that will impact the bottom line of businesses, but much of our financial destiny, is in our own hands. The businesses that do well during a down economy, do so because they are proactive. Stay ahead of the game, a bit. If there's anything we can count on in life, it's change.

I suddenly have the desire to reread, Who Moved My Cheese.

[JonnyStead]

Regardless of who points the finger, and who inherited what...there is still a lot of opportunity to be had, when the economy takes a down shift. A lot of small businesses have begun and thrived during a down economy. Much in the way of entrepreneur-ship thrives during a down economy.

Yes, there are things that the government can/cannot do that will impact the bottom line of businesses, but much of our financial destiny, is in our own hands. The businesses that do well during a down economy, do so because they are proactive. Stay ahead of the game, a bit. If there's anything we can count on in life, it's change.

I suddenly have the desire to reread, Who Moved My Cheese.

Brilliant post. Anyway - being biggest is not always best (take it from us Brits) the bigger your economy they bigger demands are placed on it. China needs to grow at 9-15%pa just to stand still. They wont be able to do that and it will be messy when it goes south. It might even result in civil war -

The one thing I dont understand is why so many governments are happy to borrow so much from the Chinese. I see a default supported by the phrase "whatchya gonna do about it?" coming at some point. The south americans did that to us in the 80s and 90s and look where they are today!

[whatevergirl]

Brilliant post. Anyway - being biggest is not always best (take it from us Brits) the bigger your economy they bigger demands are placed on it. China needs to grow at 9-15%pa just to stand still. They wont be able to do that and it will be messy when it goes south. It might even result in civil war -

The one thing I dont understand is why so many governments are happy to borrow so much from the Chinese. I see a default supported by the phrase "whatchya gonna do about it?" coming at some point. The south americans did that to us in the 80s and 90s and look where they are today!

not sure it's happiness that drives it. lol
China is happy about it, though.

[NorwichGrad]

The sad truth us that regardless of what factual data is presented to the masses, the parasitic leech crew who have the same voting rights that you and I do, will not care. They have dem dere free shtuff - cell phones, big screen tv, hardwood flooring in section 8 housing, so on and so forth. They're not gonna bite the hand that feeds 'em. They got it made, courtesy of the hardworking citizens.

If the US collapses - and it will, not a matter of IF but a matter of WHEN - I am returning to the Islands and start me a pimpin' bidnet. I be specializing in mail order brides. The only only problem with this is that if American males are broke, where can I send my peeps? Perhaps Russia..

[whatevergirl]

The sad truth us that regardless of what factual data is presented to the masses, the parasitic leech crew who have the same voting rights that you and I do, will not care. They have dem dere free shtuff - cell phones, big screen tv, hardwood flooring in section 8 housing, so on and so forth. They're not gonna bite the hand that feeds 'em. They got it made, courtesy of the hardworking citizens.

If the US collapses - and it will, not a matter of IF but a matter of WHEN - I am returning to the Islands and start me a pimpin' bidnet. I be specializing in mail order brides. The only only problem with this is that if American males are broke, where can I send my peeps? Perhaps Russia..

was going along, and didn't expect to read that. i lol'd

On another note, I don't think the US will 'collapse.' But, things may need to get a little worse before they get better.

<< trying to be an optimist

[EB68]

The US will collapse for sure. We will never be able to recover from the next four years of borrowing and printing new unfunded money. Not even taking in consideration of all of the unfunded liabilities from social security/medicare. But that is the goal of the current administraition, and anyone who cannot see that is walking around with blinders on.

[whatevergirl]

The US will collapse for sure. We will never be able to recover from the next four years of borrowing and printing new unfunded money. Not even taking in consideration of all of the unfunded liabilities from social security/medicare. But that is the goal of the current administraition, and anyone who cannot see that is walking around with blinders on.

I don't know if it is its goal, as much as I just see a floundering administration, with no sense of direction for the country. Why would any administration wish to see its country, collapse?

Sincerely asking that question.

[goranothos]

So simple, yet our elected officials make it seem so complicated.

Spend more than you earn = bad.

Earn more than you spend = good.

The only way a government "earns" money is by taxing it's citizens (or conquering and subjugating other nations, but that is not the modus operandi of the U.S.A., well.....not since we did it to the native Americans.)

U.S.A. has been spending *way* more than it has been "earning" for decades now.

The only real solution(s) are (a) spend less, (b) "earn" more (meaning more taxes on it's citizens or go full on empire and start conquering), or (c) combination of the two.

Trouble with the Tax More solution is we here in the U.S.A. are running out of taxpayers (i.e. people who earn money) and building up more and more people who depend on the "government" to provide for them.

It's probably too late to go "Empire". We could subjugate Canada and Mexico, but then would probably run out of steam because of all the aformentioned citizens who have become dependant on the government for pretty much everything and are no longer capable of doing much of anything useful. Sad panda.

[EB68]

I don't know if it is its goal, as much as I just see a floundering administration, with no sense of direction for the country. Why would any administration wish to see its country, collapse?

Sincerely asking that question.

If you have done any studying of Obama you will see his thoughts on this country and his desire to break it down. His belief is that the US has gotten to be the way it is from taking advantage of poorer countries, is the same as his belief that wealthy americans only got that way by taking advantage of others. He told everyone his desire was to fundamentally change this country, but noone understands that. In my opinion there was nothing in this country that needed changing except cutting government spending on social programs that we cannot afford. You should watch the movie 2016:Obama's America. It is a good documentary that will give you some insight on his thoughts, beliefs, and desires.

[paolo59]

There are any number of presidents who have come into office facing difficulties with the economy. This is nothing new. How one deals with the economic cards that are dealt is the key. You cannot rationally blame any one man for an entire nation's economy, whether that man be a Republican or a Democrat. You CAN point a big fat finger of blame as to just how they respond.

The current president has just authorized pay raises for Congress and all Federal workers. LMAO That's the way to deal with things, seems to me? A serious revision and simplification of the tax code (3 years ago) would have gone a very, very long way to fix a good many of the ills that beset us economically. You can judge just how serious our politicians are when it comes to all things 'fiscal' by looking at what they focus on! We don't have a revenue problem. The United States has never had a 'revenue' problem. We have a problem with spending.

[Phattso]

Regardless of who points the finger, and who inherited what...there is still a lot of opportunity to be had, when the economy takes a down shift. A lot of small businesses have begun and thrived during a down economy. Much in the way of entrepreneur-ship thrives during a down economy.

Yes, there are things that the government can/cannot do that will impact the bottom line of businesses, but much of our financial destiny, is in our own hands. The businesses that do well during a down economy, do so because they are proactive. Stay ahead of the game, a bit. If there's anything we can count on in life, it's change.

I suddenly have the desire to reread, Who Moved My Cheese.

This is a brilliant post, Ms. Girl. Thank you for writing it. One thing that has made the current administration so controversial is that the middle class needs the most help. Yet, the President wants to increase taxes on small businesses and the wealthy, who are the ones that employ the middle class. Increasing these classes influences these small businesses and the wealthy, stifling hiring. Not to mention, trying to afford health insurance for employees. There still is opportunity, however, just a little less because of the government.

This is just my opinion. Thank you for the great posts

[crupiea]

They are politicians, they knew what they were getting into when they signed up to run for office.

Doesnt matter one way or the other to me. Some body elected these fools so the only thing I can do is try to figure a way to work within their stupid policies. I am going to embrace them at the expense of everyone else.

So far thats been my plan and I must say that I am doing pretty good with it plus I dont have to wring my hands thinking about them anymore.

[NorwichGrad]

was going along, and didn't expect to read that. i lol'd

On another note, I don't think the US will 'collapse.' But, things may need to get a little worse before they get better.

<< trying to be an optimist

Ms. WEG,

You are beautiful, witty, intelligent, have a sense of humor, and optimistic. That's a rare combo. You give mankind hope.

Your post #5 was spot on. When Metallica complained about napster, Steve Jobs sought opportunity while others simply gave up. Thus the Apple Ipod was born. I don't mind gettin my cheese moved. Challenges bring out the best in people. The problem is when the government 'cuts the cheese' and just craps all over its citizens by passing restrictions and forces people to do things against their will.

I must have ESPN because I actually thought about what you posted two days ago, last month, regarding looking for opportunities.

I considered working for the health industry as a process engineer to help hospitals with improving safety, while increasing productivity and efficiency and accuracy. For example, what can I do to help the local hospital perform an operation with zero defects and zero downtime? What can I do to make sure the doctors correctly remove grandpa's appendix instead of his testicles.

To your point, we have to start thinking like Steve Jobs. Let's just hope the government does not start regulating intelligence.

[taf1968]

Regardless of who points the finger, and who inherited what...there is still a lot of opportunity to be had, when the economy takes a down shift. A lot of small businesses have begun and thrived during a down economy. Much in the way of entrepreneur-ship thrives during a down economy.

Yes, there are things that the government can/cannot do that will impact the bottom line of businesses, but much of our financial destiny, is in our own hands. The businesses that do well during a down economy, do so because they are proactive. Stay ahead of the game, a bit. If there's anything we can count on in life, it's change.

I suddenly have the desire to reread, Who Moved My Cheese.

I hear there is a reprint planned . . . but they're updating the title to be: "Who Redistributed My Cheese?"

[whatevergirl]

If you have done any studying of Obama you will see his thoughts on this country and his desire to break it down. His belief is that the US has gotten to be the way it is from taking advantage of poorer countries, is the same as his belief that wealthy americans only got that way by taking advantage of others. He told everyone his desire was to fundamentally change this country, but noone understands that. In my opinion there was nothing in this country that needed changing except cutting government spending on social programs that we cannot afford. You should watch the movie 2016:Obama's America. It is a good documentary that will give you some insight on his thoughts, beliefs, and desires.

I do agree he wants to ''fundamentally change the country,'' I agree...but, I can't help but wonder if he sees the long term consequences of his agenda. If he does...then, that would make him....diabolical, no? I don't see Obama as diabolical, rather just someone who is not a servant leader. If you're familiar with the idea of 'servant leadership,' you know what I mean.

And, I will check out that movie, thanks.

There are any number of presidents who have come into office facing difficulties with the economy. This is nothing new. How one deals with the economic cards that are dealt is the key. You cannot rationally blame any one man for an entire nation's economy, whether that man be a Republican or a Democrat. You CAN point a big fat finger of blame as to just how they respond.

The current president has just authorized pay raises for Congress and all Federal workers. LMAO That's the way to deal with things, seems to me? A serious revision and simplification of the tax code (3 years ago) would have gone a very, very long way to fix a good many of the ills that beset us economically. You can judge just how serious our politicians are when it comes to all things 'fiscal' by looking at what they focus on! We don't have a revenue problem. The United States has never had a 'revenue' problem. We have a problem with spending.

well said...i like that.

This is a brilliant post, Ms. Girl. Thank you for writing it. One thing that has made the current administration so controversial is that the middle class needs the most help. Yet, the President wants to increase taxes on small businesses and the wealthy, who are the ones that employ the middle class. Increasing these classes influences these small businesses and the wealthy, stifling hiring. Not to mention, trying to afford health insurance for employees. There still is opportunity, however, just a little less because of the government.

This is just my opinion. Thank you for the great posts

I hear ya on your thoughts...
And...you're sweet, thanks Phattso.

Ms. WEG,

You are beautiful, witty, intelligent, have a sense of humor, and optimistic. That's a rare combo. You give mankind hope.

I always have said, the nicest peeps reside right here in the ov35.
Aw, what a nice thing for you to say...I appreciate that.

Your post #5 was spot on. When Metallica complained about napster, Steve Jobs sought opportunity while others simply gave up. Thus the Apple Ipod was born. I don't mind gettin my cheese moved. Challenges bring out the best in people. The problem is when the government 'cuts the cheese' and just craps all over its citizens by passing restrictions and forces people to do things against their will.

I must have ESPN because I actually thought about what you posted two days ago, last month, regarding looking for opportunities.

I considered working for the health industry as a process engineer to help hospitals with improving safety, while increasing productivity and efficiency and accuracy. For example, what can I do to help the local hospital perform an operation with zero defects and zero downtime? What can I do to make sure the doctors correctly remove grandpa's appendix instead of his testicles.

Hmmm...this could be a novel idea, however...the firm I work for has me selling med mal insurance to hospitals and docs. If you come up with something such as this, there will be no need for my firm's services.

To your point, we have to start thinking like Steve Jobs. Let's just hope the government does not start regulating intelligence.

lol Yeah, let's hope not. I think if more people believed the mantra, or maybe not believed it, maybe actually experienced it...of ...'give a man a fish, he eats for a day, teach him to fish he eats for a lifetime,' they'd embrace that one's destiny can be found from within. Even with all the mistakes and 'failures' someone might go through in life, it is far better to navigate one's destiny than let someone else do it for you. Just my two cents on all that.

I hear there is a reprint planned . . . but they're updating the title to be: "Who Redistributed My Cheese?"

haha! I love it.