So is this economy still stuck in a cycle?

Question

And what kind of cycle is it? I mean is it a 5 year 10 year 20 year cycle?

What is the basis of this cycle? Something in 1920, 50, 60, 80?? Plase explain this whole cycle excuse Bush economists keep talking about.

http://biz.yahoo.com/rb/080624/usa_earnings.html

Answer 1

An Example for you. My company buys 100 new computers , the computer maker has a great year but now I don't need any new computers for another 5 years , so in the mean time the computer maker doesn't do so well.

So it is an every 5 year cycle , its different for all things , it depends on how long it is useful

Answer 2

No, profits are up for corporations who manufacture in the U.S.. Profits are down for corporations who buy products from China.

The International Monetary Fund is predicting an over 2% GDP growth for America next year. You can't be in a recession if there is GDP growth. The definition of a recession is two consecutive quarters of negative GDP growth. That has not happened.

Big Pharmaceutical, biotech earnings aided by weak U.S. dollar - Jan. 25, 2008

http://money.cnn.tv/2008/01/25/news/comp...

Catching the falling dollar...that's great news for many small U.S. companies

http://money.cnn.com/2007/11/06/smbusine...

Weak dollar is good for Boeing.

"Weak Dollar, Weak Airbus Profits"

http://www.businessweek.com/globalbiz/co...

5 stocks to profit from a weak dollar - MSN Money

http://articles.moneycentral.msn.com/Inv...

Strong [Australian] dollar strangling company profits - ABC News

http://www.abc.net.au/news/stories/2008/...

Weak dollar could equal strong returns for some investments - Dec 2007

http://money.cnn.com/2004/12/07/markets/...

Procter & Gamble [soap, shampoo, Gilette, Duracell, pampers, cosmetics, etc], Colgate, Avon hold up thanks to weak dollar - BloggingStocks

http://www.bloggingstocks.com/2007/10/30...

Weak dollar boosts McDonald's 3Q profits - USATODAY.com

http://www.usatoday.com/community/utils/...

Weak dollar boosts Disney park profits - Telegraph

http://www.telegraph.co.uk/money/main.jh...

Answer 3

Your on the right right track but in the wrong train. It is not a year cycle it is a lag cycle. It has very little to do with Bush. The cycle of works like this: a person sets economic policy for 4 or 8 years the product of that work will not be fully realized until the next president takes over. It is a LAG, nothing happens overnight and it never will. We will not see the results of that stupid stimulus package for years and then it may or may not have been a good thing.

Example 1: The stimulus package goes out. You put a down payment on a new car. You make payments but the car does not gain value. Two years down the road you owe more on the loan than the car is worth. The stimulus was bad

Example 2: The stimulus package goes out. You use it to pay off the car you already have. Two years down the road you have been saving all the money that would have been going towards a car, and invest it in something that goes up in value like a house. The stimulus package was good.

Look back Thur history and examine the economic policies of past presidents vs. economic trends you will see a very clear picture of what actually happens.

We will not feel the effects of the Bush presidency for a few years yet. But by then the news heads will blame it on who ever is in office (poor guy or lucky guy, we will just have to wait and see)

Answer 4

No, it fell clear out of any type of cycle. It's in freefall now.