Archive for November 15th, 2008

When I close my eyes and try to envision where our economy is going, not based on the “Morons in the Morning” but based on what is happening on Main Street, Wall Street, and every other commercial avenue, business park, etc. in America, I AM VERY AFRAID!

There are layoffs in all areas of our economy, all sectors, industries, professional levels, etc.  Manufacturing, marketing, banking, sales, retail, health services, insurance, real estate, construction, and more are all under pressure.  The only “safe” jobs today are undertakers, auditors, CIA Clandestine Services (which is advertising on our local radio station extensively for help wanted, believe it!), and litigation attorneys.  I do not think anything else is even remotely stable.

If we think back to the medieval times, the Black Plague spread violently and killed more than half the people in Western Europe.  I liken this economic crisis to the Red Plague, based on the financial losses most people are suffering around the world.  It is absolutely an epidemic!!! The Financial Times this week used the term “epic proportions”.  EITHER WAY, THIS IS VERY SCARY!

An excerpt of President Bush’s speak from Wednesday was included as a guest column in the WSJ today.  He noted that the only way for the world to get through this is to adhere to the capitalistic system.  (I would not want to be him at the meeting this weekend of the global economic leaders.  They will all laugh at him, or at least smirk and chuckle into their palms.)

We are on a cyle that may be extremely difficult to break.  But then again, when we think of the rampant inflation of just 6-9 months ago, and how it just collapsed, maybe there is hope????  What do you think?

To use an analogy, it takes energy and effort to push things up (i.e., inflation) and only  natural forces (i.e., gravity) to have them fall.  Trees do not grow to the sky, but a leaf can fall a long, long, long way from the top of a tree, until it lands.  An even after hitting the ground, can be impacted and moved by wind, rain, fire, snow, insects, decay………………..

Can someone help me to be a bit more optimistic??????????????

Please leave me a comment.  Let me know what you are thinking.

Is this unbelievable or what?  Those financial institutions not eligible for a part of the free government giveaway of America’s future have devised ways to get in through the back door.  And the government and regulators are welcoming them through the back door!!!!!!!!

Check this out from CNN.com:

NEW YORK (CNNMoney.com) — Four insurance companies applied Friday to become thrift holding companies and acquire savings and loans, which opens the door for them to seek bailout funds.

Friday was the deadline to apply for funding from the Treasury’s Troubled Asset Relief Program.

Any bank, savings association, bank holding company or savings and loan holding company established and operating in the United States was eligible to apply for some amount of capital from the bailout plan. Insurers and foreign-controlled entities were not included.

The Hartford Financial Services Group, Lincoln National Corp., Genworth Financial Inc. and Aegon NV all submitted applications to become holding companies to the Office of Thrift Supervision (OTS) on Friday.

If we, you and I, can not walk in through the front door or sneak in through the back door, is there a window we can climb through or get in using a “Mission Impossible” break in move?  Please share your ideas through a comment!

Cities and states are asking for bailouts, the Auto Industry is asking to be saved, the Unemployment Funds in 4 states are seeking Fed support, millions of homeowners are behind and in default, credit card companies are raising their rates to force all but the strongest into a default situation.

The system is suddenly rewarding those that were weeek, foolhardy, or just caught in the chaos fostered by others, and then the system is pushing all the rest into the same abyss!!! Can this end well?  Let me know your thoughts.