Where is the US economy headed?

Let me ask the author of this thread
Harbingers of Harder Times


Published: March 12, 2005

after 3 years how well the USA's economy function.
Better?
bitter?
or

It was an article in today's San Jose Mercury News. This is another example of the rich transferring their wealth to the poor through taxes.

Here.

C I
I have many American sources to substantiate my critical views.

I wish to expose my ignorance and
appeal the American tax-payers( citizens) that you are with us and we are still struggling to survive.

johnboy wrote :



i'm sure those companies are in "good company " :wink:
plenty of the wealthiest canadian companies operate out of bermuda , the bahamas and other tax havens .

whe we travel , we like to keep an eye on the names of large canadian and americam companies having "offices" overseas .

a particularly good example was the rather small city of lugano , switzerland . along the lakeshore every block had office "fronts" with the names of banks and other corporatons from all over the world .
most of these offices do not have an "open door" policy . you need a referral and upon prior arrangements a door will briefly open to let someone in . :wink:
to make it more universal , there were also many offices of middle-eastern corporations . the swiss are not discriminating when it comes to money .
hbg

btw lugano is a very beautiful city . we spent a whole week there in the fall of 2003 . even though we did nor have a branch office there , we were given a friendly welcome .

a city of 60,000 situated right by the lake and surrounded by mountains : beautiful !

a nice piture indeed.
But normal people cannot reach their whether they are Germans or canadians or4 americans.

Our government is finally realizing we have inflation.
*********

Consumer prices up sharply, job market softens

By Glenn Somerville Thu Aug 14, 9:31 AM ET

WASHINGTON (Reuters) - Consumer prices climbed at twice the rate expected in July and job prospects kept softening last week, according to Labor Department reports on Thursday that pointed to swelling economic stress.

The department's Consumer Price Index, the most commonly used inflation gauge, rose 0.8 percent in July and on a year-over-year basis jumped 5.6 percent, its strongest advance since January 1991 when the first Gulf War was occurring.

Costlier energy and food helped push July prices up but, since that time, oil prices have begun to decline and analysts hoped that July might mark a watershed on inflation pressures.

THE ECONOMIST NOT A BANAL TABLOID HAS THIS OBJECTIVE ASSESSMENT:

"The suburbs have been hit hard by the housing crisis

Until recently Moreno Valley was one of the fastest-growing cities in America. It lies in the Inland Empire, a two-county region in southern California that is so called largely because it is difficult to know how else to characterise such a sprawling expanse of detached homes, strip malls and warehouses. Between 1990 and 2007 the Inland Empire’s population grew from 2.6m to 4.1m"the equivalent of adding a city the size of Philadelphia

As in other regions now suffering from a rash of foreclosures and falling house prices, such as south Florida and Nevada, rapid growth is itself largely to blame. Moreno Valley had the misfortune to swell at a time of lax lending practices. Whole neighbourhoods were built on cheap credit and inflated expectations"palaces for the middle class. Around Camino del Rey, on the city’s southern edge, huge Spanish-style houses with three-car garages sit empty. The city’s population growth appears to have gone into reverse. Moreno Valley’s high schools expected to enrol 9,850 pupils last year. They fell short by 780.

Places like Moreno Valley retain two enormous advantages over traditional cities. They have lots of cheap, available land and a pool of workers keen to avoid the ever-lengthening commute to Los Angeles and Orange County. When it comes to attracting businesses, these two factors outweigh high petrol prices. The city of Ontario, which contains the Inland Empire’s main airport, already has more than two jobs for each home. Greg Devereaux, the city’s manager, reckons it will eventually have more than three.

Bill Batey, Moreno Valley’s mayor, is frank about the city’s present problems. When asked about its future, though, he brightens. Pointing to a large aerial photograph on the wall, he outlines plans for a new warehouse, a cluster of medical offices and a lot more houses. There is plenty of empty space in the photograph; indeed, there is a huge expanse of bare earth directly across the street from city hall. The frontier is not closed yet.

http://www.economist.com/world/unitedstates/displayStory.cfm?source=hptextfeature&story_id=11920735

Sorry one more hurting cut and paste.

It's not an ugly, dumb thing: it's an ugly, dumb, stupid thing.

I have three effects--a crowding-out effect, a higher-natural-rate-of-unemployment-due-to-less-capital-deepening effect, and an inflation-fear effect. The way the numbers work out is that I implicitly forecast that McCain will run average unified deficits of $500 billion a year, and Obama average unified deficits of roughly $150 billion a year. Push that down to a balanced unified budget and you get not an extra $600 billion but an extra $130 billion.

Aiming for a balanced unified deficit over the business cycle would, I think, be a good thing economically--but I really do not see how we could possibly get there.

http://www.j-bradford-delong.net/movable_type/

McCain supports privatizing social security, The Washington Post is in denial about the housing bubble, and Wall Street jobs are now being outsourced.
The New York Times reports that the pace of offshoring of Wall Street jobs to India is accelerating. According to the article, the jobs being moved to India are for highly educated workers but still mostly near the entry level. These are jobs that are “paid in the low- to mid-six figures.”

http://www.prospect.org/cs/articles?article=the_meltdown_lowdown_081408

The US debt is not manageable, and our economy will suffer for it for many years to come. For those struggling today, their future looks a lot more bleak.
Another Bush legacy; spending more than revenue by thousands for each citizen.
**********************************
America's infamous debt clock, near New York’s Times Square, was switched off in 2000 after the national burden started to fall thanks to several years of Clinton-era budget restraint.

However, it was reactivated two years later as the politically motivated urge to splurge once again took over.

The debt has since swollen to $9.5 trillion, with the value of unfunded public promises (if you include entitlements such as Social Security and Medicare) nudging $53 trillion -- or $175,000 for every American -- and rising. On current trends, these will amount to some 240% of GDP by 2040, up from a just-about-manageable 65% today.

-- The Economist, 14 August 2008 (http://www.economist.com/finance/displaystory.cfm?story_id=11921663)

* Figures quoted in a new documentary, “I.O.U.S.A.”, out on August 21.

rama wrote :



why would you say that ?

we took the train from berlin - the trainride was convenient and travelled through beautiful countryside .
a first-class hotel near the station cost us about EURO 100 a night - including a swiss breakfast buffet and all taxes - they even threw in a basket of fruit , mineral water and a 4 day ticket for transportation including the lake boats that take you everywhere - even italy .
a two minute walk took us down to the lake promenade .
we went in early october when the summer season and high prices were over - and tourists were being welcomed .
it was also also harvest festival time and the wine flowed freely .
after a week we were sorry to leave - could have easily stayed another week .
hbg

the lakeboats took us to some old and beautiful villages that are found all around lake lugano .

As the effect of the rebate check spending abates, the economy takes another dive.



http://news.yahoo.com/story//ap/20080829/ap_on_bi_go_ec_fi/economy

also,

Unfortunately computer had made two differnt world.
US computer and the non_us computer.
Though the subject of this thread is about US Economy( which had landed slowly ) which is vital for existense why the thread had not attracted the attention of the able-unable-disbale to know members?

"Our society and civilization are built upon the availability of cheap oil for transportation, for food production, for warmth, for trade and commerce. Approaching must be one of the biggest events in history: the end of cheap, readily available oil. Yet, with the exception of a few responsible oil geologists and scientists, almost no one is talking about this impending catastrophe."

http://mwhodges.home.att.net/energy/energy-a.htm

What's your point?

I think he means c.i. that you are living in a dream world and the alarm clock is near to going off. The nationalisation of FM and FM tells you all you need to know.

spendi, I asked okie for his explanation.

I just thought I would save him the bother.