Do you believe there would be another Great Depression?

reply to post by TOPStocker


You may be right - the world may keep on buying dollars...BUT...the reasons to use the dollar are quickly disappearing as it is rapidly being devalued.

It's great for us that the value of the dollar is declining because our exports get cheaper - we get more jobs, our debt becomes less burdensome when compared to other countries currency...

At least that's the idea...and, oh yeah - there's two sides to every deal...

The rest of the world sees themselves becoming less competitive, OPEC sees their inventory value dropping when sold to buyers other than the US, China sees their exports decreasing...and so on.

We are only the reserve currency as long as the rest of the world is ok with it - we're rapidly approaching the point where they will no longer be satisfied with the dollar as their reserve.

In fact, China and Russia have been complaining about it for the last year or two - they stopped using the dollar to trade between each other and China has openly called for the removal of the dollar as the world's reserve currency.

The ONLY reason that the dollar was ever established as the currency of choice was it's stability and value - not so much any more.

Just a matter of time...[

Originally posted by coldkidc
reply to post by boncho

 

A depressed economy could be the reason for the increase in imprisonment - but I feel like I should point out the run up after 1969 may also be due to the "war on drugs"

edit on 8-8-2011 by coldkidc because: (no reason given)

During the 1960s when Keynesian economics came to truly dominant the economics profession, there was a large influx of these "new economists" into government. The disastrous results included the "keynesianisation" of the economy and what is best described as an economic depression lasted throughout the 1970s and into the early 1980s.

Source.

Hand in hand, or coincidence?

Breaking down the data would probably show it as a coincidence. Not a major factor, but definitely noticeable correlations.

reply to post by TOPStocker


That statement is a little crazy - America is near the top of the list when it comes to hours worked...hell, we're practically a slave nation.

Sure we may be able to relearn labor - but that's not what it's about, it's about the companies bring manufacturing back to the US - they left for a reason - our wages were too high...at least when compared to 50 cents an hour in Asia somewhere.

At least as the dollar declines those companies may start coming back so maybe there's still hope.

But as far as the "we're like Greece" statement...BS

I work 3 jobs as do many other Americans - most people you talk to here that are working right now have multiple jobs or at least have something on the side.

Greece was working with 2 hour lunches and midday nap time, 30 hour work weeks, mandatory 6 weeks of vacation, pensions, perks, and other cushy crap...

America is nothing like Greece - and we have not had it "easy" at least when it comes to hours worked.

Raises are non-existent, pensions are non-existent - the workload of your average American is crazy high - just look at the productivity levels.

Nothing like Greece - good try though.

America = work hard, play hard

reply to post by ManOfGod267


I do not think we will be that lucky this time.

reply to post by coldkidc


well u seem like a pretty smart guy, im surprised u overlooked kinda what i meant, greece got out of control because they were borrowing at artificially low rates because of they were part of the euro and germany's presence allowed them to do so. we borrowed at artificially low rates more or less cuz we had a fiat reserve currency. we are like greece in so far as we expect too much for what we do. they maybe enjoyed those perks, that we dont have but we enjoy buying a whole bunch of chinese junk and houses bigger than we can afford. so we may work hard but we spend too much. Also im sure ur aware of the something like 54 trillion unfunded future liabilities. so ya were like greece neither countries political system works or atleast the populace dont sufficiently want it to work... all this will be sorted out with time. remember the 80/20 rule and remember its not always about hard work it has to be the smart kind too.

reply to post by TOPStocker


You are absolutely right - in that way we are definitely like Greece...sorry - thought you were referring to the average American workload and comparing that to Greece.

A depression you say??
Hahahahahahahaha. This is not a going to be a depression this will be the complete restructure of all society. Out of this collapse WW3 will begin and after that will be the dawn of a new dark age.

I believe we are already in one.

It's not only possible but it's inevitble as countries keep spending more than they have and the economically illiterate keep demanding government services they can't afford.

The games over, it's now not a question of if but when. This time it will be a global depression, with levels of debt never seen before in history. I don't know how this will look, because there is no historical reference to such a global crisis. I imagine it will get pretty ugly out there.

Originally posted by 547000
It's not only possible but it's inevitble as country's keep spending more than they have and the economically illiterate keep demanding government services they can't afford.

Thats right we must cut all government services and privatise all other public services, we must keep the bankers and corporations happy, who cares what happens to the poor.

I thought it was already a depression. It's depressing to me, isn't it to you?
No, seriously speaking....my husband is laid off, and so are my neighbors...not a few of them - ALL of them.

15-20% of Americans on food stamps, and supposedly in Georgia there's a lot that don't apply.
SO....tell me again, what were you saying, WILL IT BE another depression?

I guess it depends on who you are and how you're doing right now.
For us, it's been going on for a while.

My husband worked in housing. He's a designer. His company went from 500 to now 22.
He lost his job back at the first of June. We were pretty angry since he'd worked there 25 years- really he worked there as a kid, started doing errands when he was 13, went in the military, then came back and went to work,25 years later, laid off without a notice.

The owner of the place lost his house this month. It was a mansion, just gorgeous but he lost it to foreclosure. Couldn't get a buyer, so now he's living in the warehouse where the company used to be. I bet he wishes he'd done something about the leaky roof and rats now, huh?

Originally posted by woodwardjnr

Originally posted by 547000
It's not only possible but it's inevitble as country's keep spending more than they have and the economically illiterate keep demanding government services they can't afford.

Thats right we must cut all government services and privatise all other public services, we must keep the bankers and corporations happy, who cares what happens to the poor.

Wow, way to twist what I said. Hope you enjoy hyperinflation, revolution and war.

Either that or the formation of a world government.

Individuals wouldn't keep piling on debt they can't afford, yet it seems to be smart for countries to do it?