The economy was great for 6 years of Bush until
Posted By: DEMOCRATS took over congress.nm on 2008-10-09
In Reply to: McCain inside - stating his aspirations: I have always aspired to be a dictator. - Is this what you want?
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First 6 years, economy was great too. Then,
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Economy was great his first 6 years. Then, the
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Right. -and "Bush economy" was great for 6 years
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Bush kept us safe after 9-11. Economy was great
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Why was the economy good until TWO years ago
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Question: When the economy GREW the 4 years after
Job security? Standard of living? Most likely not, unless you happen to live in India.
The DEMS ruined our economy for the past 2 years.
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Not exactly. Economy was doing great. Dems took
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Great and really informative article, but the reasons we find the economy in this problem....sm
is all the banking deregulation that has taken place over the past 9 years or so....without any regulations at all, the banks have had free reign to wallow in their greed, invest their investor's money in very speculative and dangerous deals trying to make as much quick money as possible, and when it all blew up in their face, we all are expected to rescue these despicable creatures because the econmomy and wellfare of the nation, its homeowners, small businesses, etc., will just be the true victims suffering every greater losses. Yes, I agree that soem of the article's highlighted practices are very frightening for us, but right now we are facing an unprecedented financial tragedy in this country....blame all the banking deregulation, and those who proposed/allowed it as "free enterprise (interpreted=unbridled greed and robbery) as the horrid lesson here.
If you think the economy was Bush's fault....
Remember this. In 1933 President Roosevelt regulated the banks to prevent another depression, by limiting what the banks could invest in. The collapse of the banking industry was caused by whom? BUSH? Guess again. The banks were deregulated by Clinton in October of 1999. It just took some time for the bank's bad investments to do them in, just like it would us.
excuse me....Bush did not destroy the US economy...
the mess we find ourselves in, his admin and John McCain tried to head off several times, only to be thwarted by the pigs at the trough...Chris Dodd, Barney Frank....
Bush is not my favorite President by a long shot and I sure don't agree with everything he did, but this is one issue he was on the right side of...he called for reining in fannie and freddie years ago, as did Mccain...but oh no...like Barney Frank said..."They will never fail, and if they do, the government won't bail them out." Helllooo Barney....to the tune of 750 billion.
Bush says rebates going out Monday will boost economy
Bush says rebates going out Monday will boost economy
By TOM RAUM,
AP
Posted: 2008-04-25 13:36:26
WASHINGTON (AP) - President Bush said tax rebates will start going out Monday, earlier than previously announced, and should help Americans cope with rising gasoline and food prices, as well as aid a slumping economy.
Democrats said they were glad the rebate checks were about to go out, but suggested that multinational oil companies were not among the businesses the stimulus package was originally designed to help.
"Starting Monday, the effects of the stimulus will begin to reach millions of households across our country," Bush said Friday in remarks on the South Lawn of the White House.
Those first rebates will be directly deposited into people's bank accounts. The Internal Revenue Service had been saying direct deposits wouldn't start until next Friday. Bush said paper checks would begin going out on May 9, a week earlier than previously announced.
"The money is going to help Americans offset the high prices we're seeing at the gas pump, the grocery store, and also give our economy a boost to help us pull out of this economic slowdown," Bush said.
Bush's emphasis on fuel and food prices differed from other comments he's made since signing the economic stimulus legislation, intended to aid the economy by boosting overall consumer spending - which accounts for roughly two-thirds of the nation's economic activity.
Bush has suggested the rebates could trigger a spending spree. "When the money reaches the American people, we expect they will use it to boost consumer spending," he said last month.
By saying expressly that people could use these one-time checks to pay for such necessities as food and gas, Bush underscored the deepening challenges facing the economy.
Democrats were quick to pick up on the change of focus.
"It's galling to think that taxpayers' stimulus checks will be lining the pockets of OPEC. The sad truth is that the average American family will spend almost their entire stimulus check on higher gas prices this year," said Sen. Charles Schumer, D-N.Y., chairman of the Joint Economic Committee of Congress.
OPEC is the Organization of Petroleum Exporting Countries.
"Unless the administration gets OPEC to increase oil supply, American consumers are going to be in for a scorching summer of $4 gasoline with no relief in sight," Schumer said.
House Speaker Nancy Pelosi, D-Calif., agreed that people "need this rebate to cope with the rising cost of gas and groceries." She said that, while the rebates would help to get the economy moving, there was a need for a second stimulus package "and we have begun some conversation with the administration and Republicans."
As he had earlier in the week, Bush used the word "slowdown" to describe the state of the economy. He has denied that the nation is in a recession, although many economists say it is.
"It's obvious our economy is in a slowdown. But, fortunately, we recognized the signs early and took action," Bush said.
The rebates - up to $600 for an individual, $1,200 for a couple and an additional $300 for each dependent child - are the centerpiece of the government's $168 billion stimulus package, enacted in February. Roughly 130 million households are expected to get them.
Bush made the comments before boarding his helicopter at the start of a day trip to Connecticut.
People must file a tax return for their 2007 income to be eligible for a rebate check.
The IRS now says all checks for those who filed tax returns on time are scheduled to be deposited or mailed by July 11.
The economy - burdened by the collapse of home prices, a financial and credit crisis, and now rising energy and food prices - grew at an anemic 0.6 percent in the final three months of last year and is believed to have gotten even weaker in the first three months of this year.
The government will report on the first quarter's performance next week.
With the economy faltering, the nation's unemployment rate has climbed to 5.1 percent, the highest since September 2005, when it suffered from the devastating blows of the Gulf Coast hurricanes. Job losses in the first three months of this year neared the quarter-million mark.
Foreclosures have surged to record highs and financial companies have taken multibillion losses on mortgage investments that soured. The situation has sent a tremor through Wall Street and has sent the administration, Congress and presidential contenders looking for ways to provide relief.
AP Economics Writer Jeannine Aversa contributed to this report.
For me change. Bush had experience and look what he did...run our economy down to the ground..nm
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8 years under 'Herr Bush' can do that
Heil!
You mean 16 years - Both Bush AND Clinton
Disastrous!
Bush = 6 years before Dems took
a tiny barely majority in Congress, but not enough to override his vetos, and the damage was already done by then, so yes, BUSH and the republicans are completely to blame.
ZERO years. He's done no harm. Now BUSH,
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Buck up!! We got through the Bush years, and how
did that work out for you? Oh, that's right, we're still living with the consequences of his two terms because of his economic and foreign policy disasters. Whatever Obama does or doesn't do cannot be any WORSE than what Bush has DONE. Bush has brought the US to its knees, and while on your knees, PRAY for this new prez.
Absolutely! If you want 8 more years of the Bush Admin! nm
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Bush had a republican congress for 6 years and,.sm
for the last 2 years we had a republican president, who was always threatening to veto, and a democratic congress by a very small margin. You can't blame everything on the democrats for the last 2 years.
Look to the leader of USA for past 8 years GW BUSH nm
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That has been an ongoing tradition for years, not just Bush (nm)
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gee, and it was okay for Bush to be the elusive target for the last 8 years??....s/m
...and probably beyond.....that wasn't unhealthy????? from the DNC, liberal democrats, and the liberal media???
and you haven't had enough of being trampled by Bush for the last eight years?
Bush Presidency - eight years in eight minutes
I watch Olbermann. Sometimes I agree with him. Sometimes I don't.
However, last night he hit it into the park with his attempt to review what Bush did in the last eight years into eight minutes; he ran over time a little bit because there was so much to say.
I would strongly urge anyone who is not too busy whining, moaning, groaning, hating and raging about Obama -- anyone who is truly interested in the future of America -- to watch this, from beginning to end -- especially at the end (since this is done chronologically, not by matter of importance).
THESE are the reasons people voted for Obama. THESE are the reasons that Obama supporters cannot understand why Bush worshippers still support him and reject the man who might undo the wreckage of Bush.
BUSH is the man who claimed to have a direct line to GOD. Obama never claimed anything of the sort; if he had, I probably would not have voted for him for that very reason -- because it creeped me out so much when Bush did it. So the assertion that Obama supporters are "worshippers" is ridiculous, when, in fact, it seems that those who still support Bush (the closest thing to the Anti-Christ that I'VE ever seen) are the ones who seem to think Bush is some sort of god.
Please watch every single SECOND of this video. It will give you just a taste of the grueling task ahead of Obama in trying to correct all the damage that Bush has done. We may, in fact, never know the full extent of the damage because Bush (as is mentioned in the video) has "exempted" himself from the Presidential Records Act.
THIS is why every truly honest, patriotic, honorable American who voted for Obama is so relieved he won. Not so much "happy" -- but RELIEVED -- hoping (yes, HOPING) that our country may once again resemble the USA that once held respect throughout the world, the USA where hard work was once rewarded, the USA where families could afford to feed their children, and the USA where one's ability to obtain something as basic as healthcare wasn't only limited to the wealthy. I'm not naive enough to believe this can all be fixed in four (or even eight) years, because Bush has been like a four-year-old sociopath that was armed with Daddy's credit card, an AXE and an arrogant giggle, each of which he used to its full capacity, and that's a LOT to clean up.
http://www.msnbc.msn.com/id/3036677/#28699663
Bush just casually reverses 5 years of rhetoric. sm
How many more lies before everyone wakes up?
Editorial Toledo Blade: Another lie on Iraq
WHEN President Bush declared last week that nobody has ever suggested in this administration that Saddam Hussein ordered the 9/11 terrorist attacks, a large segment of the American public must have been very surprised.
They would be the die-hard supporters of the war in Iraq, the one-quarter to one-third of Americans who, according to opinion polls, believe to this day that Saddam was somehow involved in 9/11.
No one likes to think that their President is lying, but for Mr. Bush to casually reverse five years of rhetoric is like Bill Clinton claiming I did not have sexual relations with that woman, Miss Lewinsky.
No, there is no DNA evidence that we know of to indict Mr. Bush for perjury. But the public record includes repeated statements by the President, Vice President Dick Cheney, Secretary of State Condoleezza Rice, and other administration officials that linked responsibility for the 9/11 attacks to Iraq, both directly and indirectly.
The alleged connection was the administration's strongest selling point for the war, slaking the American people's thirst for revenge for the 2001 attacks on New York City and Washington, D.C.
As Mr. Bush put it on Oct. 7, 2002, We know that Iraq and the al-Qaeda terrorist network share a common enemy - the United States of America. We know that Iraq and al-Qaeda have had high-level contacts that go back a decade. … We've learned that Iraq has trained al-Qaeda members in bomb-making and poisons and deadly gases.
Here he is again, in his 2003 State of the Union address: And this Congress and the American people must recognize another threat. Evidence from intelligence sources, secret communications, and statements by people now in custody reveal that Saddam Hussein aids and protects terrorists, including members of al-Qaeda.
And in his Mission Accomplished photo op, May 1, 2003: In the war on terror, Iraq is now the central front.
Mr. Cheney was even more specific: In 2003, the vice president claimed that the government was learning more and more about links, before 9/11, between Iraq and al-Qaeda. This came even after the CIA had debunked any such claims. In 2004, the veep said flatly that Saddam had long-established ties with al-Qaeda.
Now, you can argue all day about whether faulty U.S. intelligence misled Mr. Bush, or about what the meaning of suggested is, but this much is clear: The administration relentlessly blurred what was a clear distinction between the militantly secular regime of Saddam and Islamic extremists like the 9/11 hijackers so as to create a laser-beam connection in the public mind that they were one and the same.
So for Mr. Bush to now claim that nobody has ever suggested that the Sept. 11 attacks were ordered by Iraq, as he did last week, is yet another lie in the chain of mendacity that shackles the Bush presidency.
Bush lost the respect we held for him years ago.
and in no small measure is responsible for the divisions that we all find ourselves grapping with at this very moment. The election is over and the time is here for us to move on into the new age our fellow Americans have delivered to our feet.
Right, it'll be "it's Bush's fault" for at least the next two years. I wonder when O
and his own white house. I'm fearing he won't. It will be "Bush's fault" for a long, long time to come.
Marmann's just proved it.
If it Clinton screwed something up - why didn't Bush fix it? He had 8 years!
As much as you want to blame Bill Clinton......don't forget who held the reins for the last 8 years......who let them run amuck? Why was nothing done?
Check out the mortgage failures.
Tell me which failed more, prime or subprime
Tell me what is the rate of failures under the CRA or even Bush's ADDI (which i attack alll the time)
Once again, REALITY AND THE DATA doesn't fit ya'lls claims.
Basically what happened was.. we reformed bankruptcy laws.. so that people who ran into dire straights could not restructure.
We packaged the loans into commodity derivatives. These are sorta mirror bets on the loans. Sorta..as the same loan will be sold many times in many derivative packages.. that's why the housing derivatives are worth more than all the real estate in the US. Derivatives are actually not that bad.. when a market is stable and only has to deal with natural forces. The housing market was bubbled.. partially due to low interest rates that encouraged everyone to buy, even the rich, and partially due to the CRA and the ADDI.. which did add customers to the market (helping form the bubble was the extent the CRA and the ADDI had in this mess)
All it took was a few failures to pop the bubble..and make real estate prices drop,. and mind you, it was mainly prime loans (READ not loans given to poor people and not loans under the CRA) that failed. The derivative market.,.which like I said, is really mirrors of the same loans.. cause the defaults to explode with ten times the ferocity, because one loan could effect the price of dozens of derivatives.
Really the poor and even irresponsible people .. simply did not have the economic ability to cause this mess. Pool all their money together and waste it on hookers.. it would have zero effect without help from the rich elites and their magnifying packaged derivatives.
THE CRA and ADDI both had stricter requirements than loans you got from normal banks.. both required income data.. where many prime loans did not.. they also greatly limited you on how much home you could purchase..whereas private banks did not care if you tried to buy something you could not afford.
Don't believe me?.. Look in the phone book.. call your own housing authority - you can get a loan for 106% the purchase price of a home even today.. if you're poor enough.
Ask to hear the red tape and hoops you must go through.. Heck, it is probably easier to just get a real job and earn real money than go through the FHA.
I stated 8 years ago that Bush' foreign "Policies"
,
Hello?! 8 years of Bush cratered the country & caused this
nightmare in the first place. They are all frantically trying to keep us from another Great Depression caused by Bush & republican control. I personally think the damage runs so deep that it can't be stopped in time, but at least they're trying! Maybe next time the idiots will remember what Bush & his cronies have done & will be smarter than to vote republican...
Spoken by someone who posted about Laura Bush's accident about 40 years ago. sm
But I guess we were supposed to forget about that, too?
They towed Bush's line for 6 long years. Ask any progressive
better still, branch out and listen to opposing media views, including progressive radio and newspapers...those guys have yet to get mainstream coverage. To get any kind of decent international coverage, one is forced to go to media source outside of our own country. You might be REALLY surpised at what you find there. Get real.
Yeah, and guess who he'll blame the whole four years....yep...bush...nm
It will take YEARS for repubs to recover from PALIN AND BUSH AND FOX NEWS... sm
Because they have demeaned themselves and truly hurt the republican party.
You think someone who things GEORGE BUSH is a "reptilian humanoid" is a great thinker? sm
Actually, maybe you are right... BWAHAHAHAHA.
I have both eyes open but this guy is off his rocker in many ways.
Great post, great insight, great analysis, thanks!..nm
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For this you have to wait at least 3 years and 8 months , maybe 7 years and 8 mohths...nm
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Not quite- 2 years Catholic, 2 years Muslim. NM
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Great, great post. Thank you, Marmann! nm
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Here's another one regarding the economy.
And you're right. Some people do. 
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Falling gasoline prices have led to some improvement in consumer confidence over the past few weeks. But the public remains deeply unhappy about the state of the economy. According to the latest Gallup poll, 63 percent of Americans rate the economy as only fair or poor, and by 58 to 36 percent people say economic conditions are getting worse, not better.
Yet by some measures, the economy is doing reasonably well. In particular, gross domestic product is rising at a pretty fast clip. So why aren't people pleased with the economy's performance?
Like everything these days, this is a political as well as factual question. The Bush administration seems genuinely puzzled that it isn't getting more credit for what it thinks is a booming economy. So let me be helpful here and explain what's going on.
I could point out that the economic numbers, especially the job numbers, aren't as good as the Bush people imagine. President Bush made an appearance in the Rose Garden to hail the latest jobs report, yet a gain of 215,000 jobs would have been considered nothing special - in fact, a bit subpar - during the Clinton years. And because the average workweek shrank a bit, the total number of hours worked actually fell last month.
But the main explanation for economic discontent is that it's hard to convince people that the economy is booming when they themselves have yet to see any benefits from the supposed boom. Over the last few years G.D.P. growth has been reasonably good, and corporate profits have soared. But that growth has failed to trickle down to most Americans.
Back in August the Census bureau released family income data for 2004. The report, which was overshadowed by Hurricane Katrina, showed a remarkable disconnect between overall economic growth and the economic fortunes of most American families.
It should have been a good year for American families: the economy grew 4.2 percent, its best performance since 1999. Yet most families actually lost economic ground. Real median household income - the income of households in the middle of the income distribution, adjusted for inflation - fell for the fifth year in a row. And one key source of economic insecurity got worse, as the number of Americans without health insurance continued to rise.
We don't have comparable data for 2005 yet, but it's pretty clear that the results will be similar. G.D.P. growth has remained solid, but most families are probably losing ground as their earnings fail to keep up with inflation.
Behind the disconnect between economic growth and family incomes lies the extremely lopsided nature of the economic recovery that officially began in late 2001. The growth in corporate profits has, as I said, been spectacular. Even after adjusting for inflation, profits have risen more than 50 percent since the last quarter of 2001. But real wage and salary income is up less than 7 percent.
There are some wealthy Americans who derive a large share of their income from dividends and capital gains on stocks, and therefore benefit more or less directly from soaring profits. But these people constitute a small minority. For everyone else the sluggish growth in wages is the real story. And much of the wage and salary growth that did take place happened at the high end, in the form of rising payments to executives and other elite employees. Average hourly earnings of nonsupervisory workers, adjusted for inflation, are lower now than when the recovery began.
So there you have it. Americans don't feel good about the economy because it hasn't been good for them. Never mind the G.D.P. numbers: most people are falling behind.
It's much harder to explain why. The disconnect between G.D.P. growth and the economic fortunes of most American families can't be dismissed as a normal occurrence. Wages and median family income often lag behind profits in the early stages of an economic expansion, but not this far behind, and not for so long. Nor, I should say, is there any easy way to place more than a small fraction of the blame on Bush administration policies. At this point the joylessness of the economic expansion for most Americans is a mystery.
What's clear, however, is that advisers who believe that Mr. Bush can repair his political standing by making speeches telling the public how well the economy is doing have misunderstood the situation. The problem isn't that people don't understand how good things are. It's that they know, from personal experience, that things really aren't that good. |
The economy. It's not going anywhere
counting.
Economy going down is right.
work for, the largest transcription company in the US, is now paying us for ASR, 60% and others will get straight 4 cents a line.
Actually, no, not the economy....(sm)
I was actually referring to Pelosi and her power grab, cutting off all GOP opposition, behind closed doors, that no one will ever hear about again, from the other day.
And did you catch Barney Frank today on the retroactive rules on the TARP?
http://www.newsmax.com/politics/tarp/2009/01/09/169663.html?utm_medium=RSS
What I am doing to help the economy
1. I pray for this country and the president every day.
2. I'm not constantly complaining about everything.
3. I am not watching the DOW like it's American Idol.
4. I’ve taken fiscal responsibility for me and my home.
5. I give what I can to the food banks and my church etc. to help those who need help.
I did not vote for President Obama. I do not think he is the messiah and I certainly will not blame him for the mess we are in right now simply because we all played a part. No one forced anyone to take house loans that they could not pay, no one forces us to use our credit card and run up debts and live beyond our means, no one predicted that you would take a loan and then lose your job and be in foreclosure and no one regulated the banks like they should of.
Now that being said, in a crisis it is so easy to look for someone to blame, become angry, and forget who we are. So my advice the next time you are at your kitchen table wondering how you are going to make ends meet, that you remember who you are, an American. I would also advise getting some debt management help.
So please, instead of running around with your hands up in the air thinking the worst and claiming the sky is falling, try listening to the Star Spangled Banner or something that is positive. I have found that this helps me a lot.
Now let us all take a good long look in the mirror, have a little faith in ourselves as a country and stop beating up on each other. Have a good day everyone and God Bless America.
What I am doing to help the economy
1. I pray for this country and the president every day.
2. I'm not constantly complaining about everything.
3. I am not watching the DOW like it's American Idol.
4. I’ve taken fiscal responsibility for me and my home.
5. I give what I can to the food banks and my church etc. to help those who need help.
I did not vote for President Obama. I do not think he is the messiah and I certainly will not blame him for the mess we are in right now simply because we all played a part. No one forced anyone to take house loans that they could not pay, no one forces us to use our credit card and run up debts and live beyond our means, no one predicted that you would take a loan and then lose your job and be in foreclosure and no one regulated the banks like they should of.
Now that being said, in a crisis it is so easy to look for someone to blame, become angry, and forget who we are. So my advice the next time you are at your kitchen table wondering how you are going to make ends meet, that you remember who you are, an American. I would also advise getting some debt management help.
So please, instead of running around with your hands up in the air thinking the worst and claiming the sky is falling, try listening to the Star Spangled Banner or something that is positive. I have found that this helps me a lot.
Now let us all take a good long look in the mirror, have a little faith in ourselves as a country and stop beating up on each other. Have a good day everyone and God Bless America.
Please take Economy 101
Your pathetic little woe-is-me mentality is the problem with the economy.
Wake up, eejit. The 'rich' people are the ones paying all the taxes. The runts at the bottom - you know - the ones so unintelligent or unmotivated to make it in the world - pay no taxes and suck all the money out of the country.
No country ever got anywhere by taking down the successful people and raising up the ingrates. In America, you can get rich if you want to. But you have to work for it. If you don't have the guts or the self-motivation, you get to live according to your own means.
Suck it up.
The Economy
The Economy - Not the President - is Tanking the Market
by: Hale Stewart
One of the more ridiculous statements going around over the last few weeks is "this is an Obama bear market." This statement is, well, ill-informed at best and fraudulent at worst. Let's look at why.
First -- who is saying this? Such economic luminaries as John Hawkins at Right Wing News (who actually asked Is Obama Deliberately Tanking the Stock Market?), Powerline, Brit Hume along with a host of other right wing bloggers. What all of these people have in common is their incessant chearleading during the Bush years despite mounting evidence of an upcoming recession. There are the same people who argued that ... housing is a small part of the economy ... most people are paying their mortgages ... the US economy will decouple from the rest of the world .... it's the greatest story never told ..... you get the idea. Simply put, these are people who have distinguished themselves by being some of the best contrary indicators around.
Secondly, the SPYs -- the tracking ETF for the S&P 500 -- dropped from (roughly) 155 in the summer of 2007 to (roughly) 85 at the end of last year. Yet I don't remember any of them saying that was the Bush bear market -- even though that's a drop of roughly 43%. No -- it's the new President that's causing the problems. In addition, when Bush took office the SPYs dropped from roughly 130 at the begging of 2001 to 85 in the fourth quarter of 2002. Yet somehow I don't think any of them blamed Bush's policies for the drop. Then it was the "lasting effects of the Clinton recession" or something similar.
What all of these idiots are forgetting is the simple fact that the economy is the backdrop of the stock market. When the economy does well the stock market does well. When the economy doesn't do well, the stock market doesn't do well. And to that end, the economy isn't doing well right now. Let's look at some recent news events.
From the BEA:
Real gross domestic product -- the output of goods and services produced by labor and propertylocated in the United States -- decreased at an annual rate of 6.2 percent in the fourth quarter of 2008,(that is, from the third quarter to the fourth quarter), according to preliminary estimates released by theBureau of Economic Analysis. In the third quarter, real GDP decreased 0.5 percent.
From the BLS:
Nonfarm payroll employment continued to fall sharply in February (-651,000), and the unemployment rate rose from 7.6 to 8.1 percent, the Bureau of Labor Statistics of the U.S. Department of Labor reported today. Payroll employment has declined by 2.6 million in the past 4 months. In February, job losses were large and widespread across nearly all major industry sectors.
From the Federal Reserve:
Reports from the twelve Federal Reserve Districts suggest that national economic conditions deteriorated further during the reporting period of January through late February. Ten of the twelve reports indicated weaker conditions or declines in economic activity; the exceptions were Philadelphia and Chicago, which reported that their regional economies "remained weak." The deterioration was broad based, with only a few sectors such as basic food production and pharmaceuticals appearing to be exceptions. Looking ahead, contacts from various Districts rate the prospects for near-term improvement in economic conditions as poor, with a significant pickup not expected before late 2009 or early 2010.
Consumer spending remained sluggish on net, although many Districts noted some improvement in January and February compared with a dismal holiday spending season. Travel and tourist activity fell noticeably in key destinations, as did activity for a wide range of nonfinancial services, with substantial job cuts noted in many instances. Reports on manufacturing activity suggested steep declines in activity in some sectors and pronounced declines overall. Conditions weakened somewhat for agricultural producers and substantially for extractors of natural resources, with reduced global demand cited as an underlying determinant in both cases. Markets for residential real estate remained largely stagnant, with only minimal and scattered signs of stabilization emerging in some areas, while demand for commercial real estate weakened significantly. Reports from banks and other financial institutions indicated further drops in business loan demand, a slight deterioration in credit quality for businesses and households, and continued tight credit availability.
From the FDIC:
Expenses associated with rising loan losses and declining asset values overwhelmed revenues in the fourth quarter of 2008, producing a net loss of $26.2 billion at insured commercial banks and savings institutions. This is the first time since the fourth quarter of 1990 that the industry has posted an aggregate net loss for a quarter. The ?0.77 percent quarterly return on assets (ROA) is the worst since the ?1.10 percent in the second quarter of 1987. A year ago, the industry reported $575 million in profits and an ROA of 0.02 percent. High expenses for loan-loss provisions, sizable losses in trading accounts, and large writedowns of goodwill and other assets all contributed to the industry's net loss. A few very large losses were reported during the quarter-four institutions accounted for half of the total industry loss-but earnings problems were widespread. Almost one out of every three institutions (32 percent) reported a net loss in the fourth quarter. Only 36 percent of institutions reported year-over-year increases in quarterly earnings, and only 34 percent reported higher quarterly ROAs.
I could go on, but you you get the idea. The news of the underlying economy has been terrible (at best). And that's what's causing the problems.
The economy had nothing to do with ........
his jumping to grow BIG and BIGGER government; he was going to do that regardless of the economy. Obama is for big government and was WAAAY before he was elected. The economy was a good excuse to scare people into electing him, as if this country couldn't pick itself up, get rid of the bad, new companies come in, and the economy would continue all on its own, WITHOUT Obama's interference. But, of course, he jumped at the chance to push his HUGE government agenda by taxing us to death. Please don't tell me you won't pay any taxes. How in the heck do you think trillions of dollars of debt will be repaid..... and no, it won't be those mean old "rich" people everyone loves to hate and it won't be the big businesses Obama wants you to hate, it will be YOU and me..... business will just pass their increased tax load onto us!! Way to go Obama!!
And the economy isn't already gasping its
So is theft of the economy! nm
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