Some Quick Thoughts On The Economy
Rising numbers of foreclosures, with hundreds of thousands of people losing their homes; rising numbers of defaults and delinquencies on credit cards, rising delinquencies on auto loans... and that was just the last couple of years, when Wall Street and the Administration told us that the economy was good! The question is, if all of this happened when things were "good," what will happen if the economy goes into, or is already in, a recession?
I've been saying for quite some time that many PEOPLE DON'T HAVE MONEY!!! The banks and the government can do all they want to try to refinance mortgages, but if Joe Shmo just refinanced and now loses his job or has his income seriously reduced, all the refinancing in the world isn't going to save his home. I sincerely hope I'm wrong, but this whole situation has all the makings of becoming VERY ugly. Lest we forget, the number of foreclosures and delinquencies is rising among non-subprime Americans, too. If people couldn't pay for things when they had a job, how are they going to pay if they don't have a job, or have their hours cut?
It all comes right back to all of that money ($$$$$$$$$$$$$$$$) going to the top income people in the country. Part of that has been this just astronomical transfer of more wealth because of energy prices. Eventually, the chickens come home to roost, and I really am apprehensive about what 2008 will bring regarding the American economy.
I've been saying for quite some time that many PEOPLE DON'T HAVE MONEY!!! The banks and the government can do all they want to try to refinance mortgages, but if Joe Shmo just refinanced and now loses his job or has his income seriously reduced, all the refinancing in the world isn't going to save his home. I sincerely hope I'm wrong, but this whole situation has all the makings of becoming VERY ugly. Lest we forget, the number of foreclosures and delinquencies is rising among non-subprime Americans, too. If people couldn't pay for things when they had a job, how are they going to pay if they don't have a job, or have their hours cut?
It all comes right back to all of that money ($$$$$$$$$$$$$$$$) going to the top income people in the country. Part of that has been this just astronomical transfer of more wealth because of energy prices. Eventually, the chickens come home to roost, and I really am apprehensive about what 2008 will bring regarding the American economy.
Labels: economy, energy prices, income disparity, transfer of wealth
posted by Randy at 9:21 PM
3 Comments:
I recently read a book, a hilarious memoir of a former 20-something dot-com vice president who ended up living in the "hood" after being downsized. She managed for quite some time, because she had a severance package and some savings. This caused me to reflect that if Tom or I lost our job, we'd quickly lose EVERYTHING. Two weeks without a paycheck, and we'd be in serious trouble. And I'm curious... have you blogged about healthcare? Because I have NO insurance because if I paid for that, I'd have very little to pay for anything else. Something is way screwed up here!
This comment has been removed by the author.
I deleted the comment that I had posted above, because it had a link to a news article that is no longer available.
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