A truckload of dung
Economy Lost 63,000 Jobs in February
The economy shed 63,000 jobs in February, the government said on Friday, the fastest falloff in five years and the strongest evidence yet that the nation is headed toward — or may already be in — a recession. Manufacturers and construction companies, reeling from the worst housing slump in decades, led the declines in payrolls. But the losses were spread across a broad range of businesses — including department stores, offices and retail outlets — putting increased pressure on consumers’ pocketbooks. The unexpected decline raised anticipation on Wall Street that the Federal Reserve will lower interest rates again later this month, perhaps by as much as a full percentage point, as the central bank scrambles to stave off a steep economic slowdown.
Auto repossessions at 10 year high
Car and truck repossessions this year are headed for the highest level in at least a decade, thanks to easy credit and a faltering economy, says an economist for one of the largest wholesale auto auction services. So many vehicles are being snatched from owners who stop making payments that some repo operators and auto auctioneers say lots are overflowing. This year's predicted 10% rise in vehicle repos to 1.6 million would be a third higher than 10 years ago, says Thomas Webb, chief economist for a unit of Atlanta-based Manheim, which sells cars to dealers worldwide. The increase comes atop a 10% rise in repos last year.
http://abcnews.go.com/Business/PersonalFinance/story?id=4289740&page=1
Comments (Page 1)
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on Mar 07, 2008
I understand that things happen that can turn your world upside and leave you financially unable to meet the commitments that you had previously had no problem meeting.

However, at some point people are going to have to realize that easy credit is there to HURT you, not HELP you. It's pretty easy to get money (in the form of high interest loans or lines of credit) thrown at you, but just because you qualify for it, doesn't mean you can afford to follow through with the payments.

on Mar 07, 2008
I understand that things happen that can turn your world upside and leave you financially unable to meet the commitments that you had previously had no problem meeting.However, at some point people are going to have to realize that easy credit is there to HURT you, not HELP you. It's pretty easy to get money (in the form of high interest loans or lines of credit) thrown at you, but just because you qualify for it, doesn't mean you can afford to follow through with the payments.


That's true, but when something like this happens, it affects everyone -- not just the irresponsible ones. That's why regulations are important and why deregulation often results in disaster.
on Mar 07, 2008

Expect more of the gloom and doom MSM headlines until November.  The media will do what it takes to convince Americans that only democrats can save them.

on Mar 07, 2008
Expect more of the gloom and doom MSM headlines until November.  The media will do what it takes to convince Americans that only democrats can save them.


It's a hoax! Pfffffeeeew!!! I thought the economy was falling apart.
on Mar 08, 2008

It's a hoax! Pfffffeeeew!!! I thought the economy was falling apart.


The economy is not "falling apart".  If you listen to the media you would think rationing and bread lines are next. 

on Mar 08, 2008
Now's the time to call your stockbrocker and BUY...
on Mar 08, 2008
If the economy's so bad, how come I can't get anybody to do any work for me?
on Mar 08, 2008

Now's the time to call your stockbrocker and BUY...


I don’t think we’ve even come close to bottoming out yet. It’s still short season.

on Mar 08, 2008
Now's the time to call your stockbrocker and BUY...I don’t think we’ve even come close to bottoming out yet. It’s still short season.


The one that has that answer is the one that is going to get rich (or richer)!

But your headline is correct. And like any sickness, a symptom is a fever (recession). But that is not the sickness, but the body fighting the sickness. In a perfect world, there would never be recessions. In the real world they are a necessary evil.
on Mar 08, 2008

Island Dog, Daiwa ... I'm with you both. Every day I drive past help wanted signs that go unfilled. Many people just find it easier to stop paying their bills than to find a way... part of the "it's not my responsibility" generation. It would also naive to think politics were not involved in this issue.

The economy is cyclic, so there will always be changes. I'm on my third job (all different employers) since 2005 and each one has paid more than the last. It's not too difficult when a person applies themselves. Too many people think they deserve a high pay job right out of the gate so they turn their nose up at something that will hold them over until something better comes up.

Besides, a lot of Europeans will be taking advantage of the weak dollar this summer and vacation in the US. The Dem's want to re-negotiate or dump NAFTA...sure now that US products are more attractive to the rest of the world, why not screw that up. Of course you won't hear that on CNN/MSNBC.

on Mar 08, 2008
The Dem's want to re-negotiate or dump NAFTA...sure now that US products are more attractive to the rest of the world, why not screw that up. Of course you won't hear that on CNN/MSNBC.


  

They also have short memories. Tarriffs and protectionism are what caused and prolonged the Great Depresion. SO yea, if this is bad, the next 4 years are going to be hell on earth!
on Mar 09, 2008

part of the "it's not my responsibility" generation.


That is a great part of it. 

I bet 90% of people asked wouldn't even know what a recession is. 

on Mar 09, 2008
I bet 90% of people asked wouldn't even know what a recession is.


I thought it means when you're out of a job and a depression means when I'm out of a job.   
on Mar 10, 2008

The economy is not "falling apart". If you listen to the media you would think rationing and bread lines are next.

Hee hee! I chortled when I read this. The MSM has been downplaying the seriousness of the situation for years. If anything they are liable for just how bad it's going to get, as for the last several years they've been peddling the lie that the economy can only go up, and that NOW is the time to invest!

Bread lines are not next, however in the not too distant future it's not entirely impossible that you'll be paying 5 or 6 bucks for a loaf of bread.

None of this is "chicken little" the sky is falling doom-saying, and it has absolutely nothing to do with the political democrat/republican chest beating competition.

It has everything to do with the laws of physics, and the fact that actions have consequences. Financial wizards like the CEO's of major banks (and Enron) thought they could game the system. Break the rules and make a ton of money. Well, if you break the rules, you break the system. That is what's coming, and has been predicted a loooong time ago. Everything that goes up must come down. All markets eventually return to their real value, and the situation in the States is currently an over-inflated bubble that's been allowed to over-inflate far too long. Also the GDP is based on consumer spending, but consumers are getting hammered with inflation, drowning in credit debt, housing values depreciating, to name a few. Once the main engine of your economic activity starts getting into trouble, things are going to get dicey.

On top of it, a HUGE part of the problem is the melt down of the derivatives market. Laws that were enacted after the great depression to separate different types of banking were repealed, and regulation of investment banks was turned over to those banks. Basically, we left the foxes in charge of the henhouse, and now we are going to have to pay the price. Once much of the regulatory oversight was removed or ignored, these private banks went ahead and created trillions of dollars of fake money in the derivatives market. Now that investors and other businesses are clueing into the fact that a lot of their investments were smoke and mirrors, liquidity in the banking system is grinding to a halt.

So yes, Benmeister, the economy is indeed one sick puppy!

on Mar 10, 2008
Hee hee! I chortled when I read this. The MSM has been downplaying the seriousness of the situation for years. If anything they are liable for just how bad it's going to get, as for the last several years they've been peddling the lie that the economy can only go up, and that NOW is the time to invest!


IN Canada maybe, but not here. They have been bad mouthing the economy for the last 7 years. But like a broken clock, they were bound to get it right sooner or later.
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