Why are we in a Economic Depression???

[Gene]

This thread started with a question about why we are in a depression. Actually the term "depression" has mostly been used for the deflationary period that started in 1929. Before that such events were called "panics", a very accurate term, or "bubbles" which actually described the period before the bubble burst. Since the Great Depression ("Great" probably means to distinguish it from previous deflationary periods which were also called depressions with a small "d"), we have had "recessions" to show they were less than the Great one.

That doesn't answer the question, but I thought it interesting although I'm not sure I'm completely right. Maybe we need a new name like "The Big Blow Up" or Magnarecession".

I think the answer isn't going to be found on a forum about Airstreams, but after we go get a degree in economic history, we may have an answer, even the answer. The causes are very complex and difficult to understand and the "experts" disagree. I suggest reading Paul Krugman's book "The Conscience of a Liberal" for some very cogent and rather easy to read facts on what has happened in the past 100+ years. Krugman just won the Nobel Prize in economics. Even if you are not a "liberal" it is well worth your time to understand his viewpoint. I think what has happened since the book came out in late 2007 proves his thesis to be correct.

Gene

[deauxrite]

1. Owe no man.
2. Support yourself with your own labor.
3. Understand that instant gratification is costly.
4. Resist the temptation to "keep up with the neighbors"

[purman]

Originally Posted by deauxrite

1. Owe no man.
2. Support yourself with your own labor.
3. Understand that instant gratification is costly.
4. Resist the temptation to "keep up with the neighbors"

Don't forget
5. don't go to the grocery store hungry
6. don't go shopping if you don't need anything....
7. And just because it's on sale doesn't make it a good deal if you don't really need it..

[mrmossyone]

There are supposed to be no politics on here but there are three posts in this thread that imply Obama is the savior of us all.

[cameront120]

And the moderators posted a warning.

[Fyrzowt]

The old Karma system was taken away for less cause.
But that's another thread....

[Inland RV Center, In]

THERE IS NO VIRUS ATTACHED TO THIS LINK.

If your down in the blues about "anything", please check out this link.

Andy

Originally Posted by Inland RV Center, In

If your at that "Y" in the road, before you consider giving up, please watch the following, and then resurvey your thoughts.

Andy

[overlander63]

Originally Posted by mrmossyone

There are supposed to be no politics on here but there are three posts in this thread that imply Obama is the savior of us all.

I must need new bifocals. Point those posts out to me, and I will make them go away as promised.

[Fyrzowt]

Originally Posted by Inland RV Center, In

THERE IS NO VIRUS ATTACHED TO THIS LINK.

If your down in the blues about "anything", please check out this link.

Andy

Andy,
That is an amazing video, I also linked over to some others about that guy. It blows me away that he swims, does most things that others do. We take so many things for granted.
Thanks for posting that.

[purman]

Politics don't have much to do with it... It's all perception.

Look, why did we stop spending our money...???

What happened?

Was it the housing market... It got flooded right.... So then the media says no one is buying houses...The people who did buy houses can't afford their payments anymore and POW reposes them all...

Lets not work with them so they can keep them... Thats to easy...

so now we arn't spending money, companies start laying off people, so less money is spent... Dominos!!

So we have a new President(pic your own one)... In 4-8 years people will be sick of this party and want the other one back, Then In another 4-8 years it will happen again..

The American dream is to own everything you can... Well that only works for so long...

My wife and I make 5 times what we did when we got married (or more) We spend more and have debt (house, student loans, business loans)

I had just as much fun when I was making $1800 a month in '94 and had no debt.... I had rent, insurance, and utilities and that was it... I was also single....

Refer to post #42 and #43 to live a happy life...

[tin sista]

Not to minimalize anybody's suffering, these are hard times, specially in my home state of Meeshigan! We Americans are toughies, we'll make it through, our ancestors got through worse times, we will too!

Lets all hang in there and try not to get too upset about material stuff, it comes and goes, be glad for our family and friends and all the things money can not buy!

[scubachris]

You can thank the Dodge brothers for this. In 1915 they sued Henry ford to stop giving back money to his employees when times were good, and insisted it go to the shareholders. Ford's argument was that the employees deserved to be rewarded for their hard work. The Supreme Court disagreed and stated that a company is legally obligated to maximize profits. This usually means lay-offs.

[Inland RV Center, In]

How true, how true.

Andy

[mefly2]

Collectively as a country and, as individuals, we have much for which to give thanks ... we are alive, breathing, and reading this. Think of the folks who can not. When I started up here in both LE and as a teacher, $4500/year in 1974 !