MzMia
Posts: 5333
Joined: 7/30/2004 Status: offline
|
quote:
ORIGINAL: MrRodgers quote:
ORIGINAL: Maya2001 quote:
ORIGINAL: Marc2b Economics isn’t just sales figures, housing statistics, etc. There is an undeniable psychological component. People make their decisions based upon their perception of reality. If they think the economy is going to get worse they begin withholding their money (saving it for a rainy day, so to speak), leading to a decrease in the demand for products and services (which in turn leads to job loss). If they think things are improving then they tend to spend/invest more freely, leading to an increase in the demand for products and services (and hence more jobs). There are people on these boards who are convinced that we are headed for a depression. I won’t rule out the possibility of a depression but it is by no means a sure thing. If we do have a depression it will be due in large part to we as a nation psyching ourselves into it. Whether President Obama is doing the right or wrong things – while certainly not irrelevant – is not nearly relevant as whether or not people believe he will make things better. So true....... the reason the former depression was so bad was because people panicked they sold of stocks and bonds, pulled money out of the bank and shoved their money under their mattresses... with no money circulating and working ..the economy crashed many here talk about killing the trade agreements to bring back and save jobs well that happen in the past and led to the great depression, and as soon as that happened the trade wars occurred ...which severely hurt US export and killed jobs...in July 1930 the US wrote a bill that hiked tariffs on 20,000 imported goods saying it would save american jobs . at that time the unemployment rate was 7.8% ..two years later imports went from a high of 1.9B down to 390M , exports to europe fell 2.3B to 784M and cross border exports fell by 30%, unemployment in US soared to 25%, So when you start playing around with trade agreements as a protection measure you can be bit in the ass because that can hurt exports and in the end cause greater job losses. ..Do a bit of research on the Smoot-Hawley tariff and right now with the new stimulus bill which would require major public works projects to favour U.S. steel, iron and manufactured goods over imported ones. it a repeat of the past which could plunge the US into another Great depression..just maybe a lot of the big US corporations have seen the writing on the wall and that maybe one reason why they tried expanding globally inorder to try and survive the potential tarrif wars Note: After Smoot-Hawley the US had 6 years of a trade surpluses, 1 even and 1 deficit in the next 8. The idea that tariffs enacted in Smoot-Hawley brought about trade deficits or a 'trade war' is just only so much more historical capitalist propaganda. Similar to the BS that NAFTA was going to employ Mexicans...in Mex. and they would stop coming here. For the last 15-20 years or more, the Mexican capitalist oligarchy has prevented the creation of millions of jobs in Mex. and thus have still most labor making little more than $9 PER DAY. I got a million of 'em.  Give em hell! Excessive Free trade agreements, and rampant "outsourcing" is one of the reasons, America is slipping into the toilet. But how many want to admit that?
_____________________________
Namaste' To Each His/Her Own "DENIAL ain't just a river in Egypt." Mark Twain What's your favorite fetish? "My partner's whisper"--bloomswell
|