AJC:Less-confident consumers could stall recovery

[futurebeachbum]

I didn't read the article, but I think it's a simple matter of we are damned whether we do or don't. We are screwed if we spend and screwed if we save, and we desperately need to do both for the good of the economy.

You're right and we as a nation will overreact as usual. Instead of seeking the middle ground (spend more wisely -vs- not spend at all).

It always amazes me how overboard we have to go on everything.

Banking is a good example. We had it tightly regulated (no interstate banks, no risky investments, etc.) That might have been too much regulation, but rather than try and moderate it, we got rid of almost all controls and the industry went apes**t. Now we overreact in the control direction and feel good about making banking too expensive for a sizable percentage of the population.

Our tendency to 3 strikes laws, zero tolerance, Sarbannes-Oxley, etc... are manifestations of this all or nothing approach. We seem to think that every time something bad happens, we need to legislate some reaction.

 

[LuciferSam]

Soooo . . . we're just screwed.

Damn screwed.

 

[Linda]

Story in the business section of the AJC today called "Less-confident consumers could stall recovery".

Its all our fault for not buying as much stuff.



How typical of an AJC article. Things aren't deteriorating because the government has totally bungled dealing with the economic crisis and refused to do anything to stimulate job creation...They are bad because those darned citizens are being frugal.

I am again reminded why we referred to the AJC (AJ & AC back then) as the "Urinal-Constipation" when I was a student at Ga Tech in the 70's.

Here is a good article by Mort Kuckerman (an Obama supporter at one time) in case you haven't seen it.

Obama's Anti-Business Policies Are Our Economic Katrina - US News and World Report

 

[LuciferSam]

Here is a good article by Mort Kuckerman (an Obama supporter at one time) in case you haven't seen it.

Obama's Anti-Business Policies Are Our Economic Katrina - US News and World Report

He needs for Bill Clinton to speak into his earpiece.

 

[beachFool]

Here is a good article by Mort Kuckerman (an Obama supporter at one time) in case you haven't seen it.

Obama's Anti-Business Policies Are Our Economic Katrina - US News and World Report

Zuckerman heaps scorn on the financial reform bill and the regulations it may impose.

The bill definitely has warts but at least it is a first step to regulation of hugely derivatives market.

Drop the finger-pointing the regulatory void was bi-partisan .

 

[beachFool]

Story in the business section of the AJC today called "Less-confident consumers could stall recovery".

Its all our fault for not buying as much stuff.


How typical of an AJC article. Things aren't deteriorating because the government has totally bungled dealing with the economic crisis and refused to do anything to stimulate job creation...They are bad because those darned citizens are being frugal.

I am again reminded why we referred to the AJC (AJ & AC back then) as the "Urinal-Constipation" when I was a student at Ga Tech in the 70's.

It is a rehash of a concept called the paradox of thrift.

We are a consumer driven economy and logically when consumers pull back it ripples.

As far as stimulating the economy, extending unemployment benefits would work wonders.

How Unemployment Benefits Stimulate Economy : NPR



From Moody's Analytics, a regular Marxist bunch