Recession BS - A Rant
I am so sick of hearing about a possible recession. Based on the money we made by moving to recession stocks, paper, oil, etc., I'd say that ship has sailed.
The recession started 8 or 9 years ago. The tech bubble busted, the stock market crashed, manufacturing plants started closing or moving to Guadalajara, jobs were outsourced and moved overseas. Many white collared workers in the 75k -100k salary range were jobless for 6 months to a year. People fortunate enough to keep their jobs saw their salaries cut 10-20% and their 401k matching go away. Credit lending was loosened so people would stay afloat and not lose their houses. When the Bush administration took over, one of the first things they did was hold credit card companies responsible. The minimum payments were doubled. But they, like most others, wanted people buying houses and keeping the houses they already had. The giant snowball of debt was rolling and there was no one to stop it. Predators found a way to make a killing by becoming mortgage brokers. They lied to lenders and borrowers alike and negotiated ridiculous loans for people who had no business getting a loan. Then, making things worse, some borrowers lied and overinflated their income and assets. Fraud was committed by many. Bankruptcy does not make the debt go away. Someone has to pay the bills you defaulted on. Fraud is not a victimless crime.
We're looking at a Depression. Hundreds of thousands of jobs have been cut already. People who could not support their lifestyle with the job they had are fucked. Herbert Hoover believed the free market system would correct itself. The result was the construction of the Hoovervilles. We're going to have to follow FDR's examples. The Alphabet Soup jobs will make a return. Bonds will be sold to fund them. Foreign businesses will own us all, but we will survive.
Cut back your spending, plant your garden, and pray like hell. It's going to get a lot worse before it gets better.
The recession started 8 or 9 years ago. The tech bubble busted, the stock market crashed, manufacturing plants started closing or moving to Guadalajara, jobs were outsourced and moved overseas. Many white collared workers in the 75k -100k salary range were jobless for 6 months to a year. People fortunate enough to keep their jobs saw their salaries cut 10-20% and their 401k matching go away. Credit lending was loosened so people would stay afloat and not lose their houses. When the Bush administration took over, one of the first things they did was hold credit card companies responsible. The minimum payments were doubled. But they, like most others, wanted people buying houses and keeping the houses they already had. The giant snowball of debt was rolling and there was no one to stop it. Predators found a way to make a killing by becoming mortgage brokers. They lied to lenders and borrowers alike and negotiated ridiculous loans for people who had no business getting a loan. Then, making things worse, some borrowers lied and overinflated their income and assets. Fraud was committed by many. Bankruptcy does not make the debt go away. Someone has to pay the bills you defaulted on. Fraud is not a victimless crime.
We're looking at a Depression. Hundreds of thousands of jobs have been cut already. People who could not support their lifestyle with the job they had are fucked. Herbert Hoover believed the free market system would correct itself. The result was the construction of the Hoovervilles. We're going to have to follow FDR's examples. The Alphabet Soup jobs will make a return. Bonds will be sold to fund them. Foreign businesses will own us all, but we will survive.
Cut back your spending, plant your garden, and pray like hell. It's going to get a lot worse before it gets better.