How bad do you thing the American economy will get

Question

How bad do you thing the American economy will get

Answer 1

Lets look at the whole picture

1.  Gas Prices will continue to steadily climb indefinably until they break the thresh-hold of what 80 percent of Americans can no longer afford, lets say @ $7 dollars a gallon.  

2. Because of number one situation, employers will be laying off more and more workers to compensate the rise in fuel costs.  Also truckers will more than likely go on strike for any odd number of reasons.

3.  The American banks right now are hurting,  more and more banks are being investigated by the government for shady activity accompanying erroneous fees.

4.  With situations 1, 2, and 3, piling up the Credit card companies will lose billions because people won't be able to pay their bills.

5.  The housing market isn't looking to improve anytime soon, especially with people not being able to garner credit from the banks that haphazzardly gave out too many big loans back in the 90's to people who couldn't afford them.  So now the banks are trying to play catch up and making the end user (YOU) pay for it with misc fees and higher interest rates on loans.

6. Aren't those enough things to point out right now?

With Americans being led like lambs to the slaughter so-to-speak,  we are in for an ever rougher ride each year unless something improves.  What I stated are facts and merely watching the news or reading about economic issues would have anybody come to the conclusions I have.   My best advice is, save every penny, don't buy that 80K Mercedes Benz, or take buy a bunch of expensive jewelry, you'll need every penny just to stay alive in the coming years.  Yes Middle Class, I am talking to you, the poor are already doomed.  

Answer 2

It can't get much worse here in Michigan.  Fixer upper homes are going for as low as $20,000 with .5 an acre of property.  My husband has been laid off for months now, and unemployment is now running out.  I work myself to death with two jobs, and still can barely pay my car payment & Insurance, not to mention rent which seems to go up because more & more people are renting instead of buying because jobs are dwindling.  It's very depressing.  Hopefully, will have a huge CHANGE in the American Government which might lead to an upswing in the economy, but for people who are suffering now it might be to little to late.  

Answer 3

Time will tell.  In my lifetime we have had many cycles...when it goes up....it does come down.  Hope this inflation doesn't last too long, but it might.  Those who are over extended really suffer in the down cycles.  Some lose everything.  Sad.  And according to past cycles this could last for 5+ years or more.  Good luck to everyone out there.

Answer 4

There are thousand of trillions of dollars in hidden bad debt that has yet to come to light . An with this will come a depression that will make the last one look like a slow down .

Answer 5

worse than the seventies not yet i was there. but it will get worse before it gets better. the current housing bailout program will do more damage than good it should have helped these people while giving them a choice of saving their house or down sizing to make all the home expenses drop. as we adjust to the changes in the economy. many will lose houses cars etc. as they level them selves out afterwords they will have to replace with less expensive choices and lower their debt witch will increase their confidence and begin the up turn. the fastest cure for the economy would be a lifting of the oil drilling bans. oil drilling requires much equipment personell and support ie corparate purchases and payroll to inspire the economy.

Answer 6

Recently we have been hearing about something called "stagflation," meaning a stagnant economy with inflation. It began during the Carter administration, and was solved during the Reagan administration--which is neither here nor there except as a time line. But we are hearing that word again.

"You have heard economists say that they are puzzled by the nature of today’s problem: they are unable to understand why inflation is accompanied by recession—which is contrary to their Keynesian doctrines; and they have coined a ridiculous name for it: “stagflation.” Their theories ignore the fact that money can function only so long as it represents actual goods—and that at a certain stage of inflating the money supply, the government begins to consume a nation’s investment capital, thus making production impossible."

“Egalitarianism and Inflation,” Philosophy: Who Needs It; Ayn Rand

So it would appear our economy will get worse, because the economists in Washington are Keynesian, not of the Ludwig von Mises school of economics. von Mises and Keynes were 180 degrees opposed to each other's theories. Libertarians and Objectivists and the Cato Institute and many other institutes and universities subscribe to von Mises; but it doesn't help what is going on in Washington. http://www.econlib.org/library/Enc/bios/...

Answer 7

Can it get any worse? lol

Answer 8

Maybe a little bit worse, but hopefully we have seen the worst of it with the collapse of Fannie and Freddie.  Then again, I'm frighteningly optimistic, so don't pay too much attention to what I think.

Answer 9

I think it is worse than the seventies.  I don't care what the economists say or what's on paper, the fact of the matter is in the seventies mom's were still able to stay home and raise their own kids.

I think it is going to get worse.  A lot of people don't realize the domoni effect it is already having.  Bush signed a bill to help those who got mortgages since 2005.  What about those who have lost their jobs because of this mess and have had a mortgage for ten years or more?  Those people are hurting too.  Savings accounts don't last long when you are unemployed.

I think it is going to get a lot worse.  I am judging by the town I live in and the people I know.  It is pretty bad here in North Central Florida.

Answer 10

There is an old saying that when America catches a cold Britain will get the Flu. Things are becoming very rough over here at the moment and the worst is yet to come. Like yours, Britains and Irelands housing markets are collapsing, In Ireland this means that the unemployment rate is going to soar. The last time i saw anything as bad as this was  the 1970s.  Both the UK and the US are likely to have a series of strikes which will only make things worse. A person of real vision is needed in America otherwise the whole Western world is going to be in for a very bumpy ride.