Skip to content

Neutěšený stav Americké ekonomiky, špatné vyhlídky

10/11/2009

„For God Sakes, strap on a pair and get to it“ 

Mike Whitney, 8. 11. 2008
Information Clearing House

This is bad. Double-digit unemployment. In October, unemployment soared to 10.2%. 16 million people are out of work. The average work week is down to 33 hours. Payrolls have contracted 22 months straight. The „real“ jobless rate (underemployment) is now 17.5% and rising. These are Great Depression numbers. The country is in a Depression. So, why is there no talk of federal work programs? Why no WPA?

The dot.com boom fizzled and the housing boom is kaput. There’s no driver for new jobs; no more bubbles. Personal bankruptcies are up, foreclosures are soaring, the food banks are maxed out, and the homeless shelters are bulging. Everyone is poorer and the economy is broken. People need jobs, good paying jobs with benefits. Government jobs.

Where’s Obama? Preparing his next speech?

No more speeches. No more grand oratory or gibberish about „change“. Think: debt relief. Think: targeted stimulus. Think: jobs. And, then, get on with it.

NO JOBS AND NO CREDIT

Consumer credit is shrinking at record pace, $14.8 billion in September alone, 7.2 percent annually. People are paying off balances or writing-down debts. When credit shrivels and wages stagnate, the economy tanks. It doesn’t matter how much liquidity the Fed pumps into the stock market, the underlying economy is still contracting. The economy needs stimulus, and lots of it. Anyone can see it.

Consumer prices have been wracked by deflation. The consumer price index (CPI) has declined for six straight months, the longest slide since 1954. And it’s getting worse. The banks can’t lend because (according to the IMF) they’re still buried under $2.8 trillion in rotten mortgage paper. The banks will be treading water for a decade or more. That means tight credit, less demand, fewer jobs, and more misery. 

Memo to Obama:
„For God Sakes, strap on a pair and get to it“

No comments yet

Napsat komentář

Vyplňte detaily níže nebo klikněte na ikonu pro přihlášení:

WordPress.com Logo

Komentujete pomocí vašeho WordPress.com účtu. Log Out / Změnit )

Twitter picture

Komentujete pomocí vašeho Twitter účtu. Log Out / Změnit )

Facebook photo

Komentujete pomocí vašeho Facebook účtu. Log Out / Změnit )

Google+ photo

Komentujete pomocí vašeho Google+ účtu. Log Out / Změnit )

Připojování k %s

%d bloggers like this: