It's the Economy

Posted: Wednesday, February 28, 2007 9:19 AM by Huma Zaidi
Filed Under: Economy

The New York Times says stock markets “fell sharply across most of Asia again today and continued declining in Europe as investors worried about weakness in the American economy. But share prices rebounded in Shanghai and Shenzhen, the mainland Chinese stock markets that had been the first to tumble during Tuesday’s global sell-off.”

Another Times article notes: “In America, [yesterday’s] selling seemed to add to worries that a decline in the housing market, and problems in particular with loans to risky borrowers, could spill over. And a report yesterday indicating that orders for durable goods … were surprisingly weak in January revived doubts about the strength of the American economy.”

The AP adds that Fed chief Ben Bernanke is set to testify on Capitol Hill today about the economy. “His remarks follow comments from former Fed Chairman Alan Greenspan, who stirred concern about the health of the U.S. economy with a warning over the weekend that a recession could take hold later this year.”

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Comments

Perspective, ladies, perspective. This is nowhere near the percentage drop back in 1987. Run the numbers yourself, if you don't believe me.

jtb (Sent Wednesday, February 28, 2007 9:31 AM)

Maybe enconomical conditions are not as rosy as Bush keeps telling the American people.

Seattle Sue (Sent Wednesday, February 28, 2007 9:47 AM)

If the US Economy is resting on the sales of $250K stapled-up cardboard and styrofoam "Mansions", we're all in trouble.

Steve Turner Cedar Falls Iowa (Sent Wednesday, February 28, 2007 9:54 AM)

jtb it takes a lady to know a lady

CANDY MAN, EARTH (Sent Wednesday, February 28, 2007 10:11 AM)

"A penny earned is....uh....a saved penny is an earned.....uh......spend all your pennies." - Duhh-bya's economic plan

Robert Catalano, Salem, OR (Sent Wednesday, February 28, 2007 10:13 AM)

There is an election comming up in 2008. Both political parties will do whatever it takes to keep the economy going strong.

Marty in Kansas City (Sent Wednesday, February 28, 2007 10:22 AM)

Eliminate all taxes and replace with lotteris for every governmental dept. such as dod lottery then those folks could buy defense lottery tickets and fund that dept same as every other dept like education. Then we would see how people really feel about each dept. No dept could spend more than they take in..Plus hey ya might win da lottery and retire. Those folks for instance who dont belive in public education would not have to buy school lottery tickets but could instead say buy dod tickets. Total freedom of choice..

retired union man, ibew, america (Sent Wednesday, February 28, 2007 10:28 AM)

Prime Minister Wen Jiabao, of Communist China said that while China was committed to political reform, progress toward democracy would be difficult because the economic political and legal systems were still immature.

Desmond (Sent Wednesday, February 28, 2007 10:30 AM)

Desmond. At least the Chinese systems are 'immature'. Ours' are in the 'fetal position'.

Steve Turner Cedar Falls Iowa (Sent Wednesday, February 28, 2007 11:05 AM)

retired union man....I don't think the lottery idea will work in the way you expect it to. I don't know about those in other states, but the Illinois Lotto was set up during the 70's to raise state money for the schools. I don't know where the money's going, but it certainly isn't Illinois' schools.

Olivia (Sent Wednesday, February 28, 2007 11:40 AM)

I think that the state gov't tells people it is going to schools so they don't feel too bad when they loose their food and rent money.

MM (Sent Wednesday, February 28, 2007 11:55 AM)

Comments from Greenspan stirred "concern about the health of the U.S. economy". For those of you here who may be independantly wealthy, I'm sure this "concern" is like water off a duck's back, but gotta say....my nest egg has a real big crack after the fall yesterday, and "yes" it "concerns" me. I know that "you haven't 'really' lost if you don't sell, and, that it's rising again this morning", but it sure caused a lot of tossing and turning last night. Are they sure it wasn't just a computer glitch? Tell me it ain't so. Maybe they'll come back today and say we've been "punked".

M.E., Albany, Ga. (Sent Wednesday, February 28, 2007 12:08 PM)

That was supposed to be a joke like the repubs economic plan.

retired union man, ibew, america (Sent Wednesday, February 28, 2007 12:11 PM)

Olivia & MM - The vast majority of money raised from lotteries does in fact go into the education system. At least in Illinois it did. That's where I grew up and lived until a short time ago. Just as with Katrina cleanup, the problem with the education system is not not having enough money, it is the proper allocation of that money and the rampant fraud and manipulation that goes on.

Ryan, Michigan (Sent Wednesday, February 28, 2007 1:37 PM)

Olivia, I don't know why you say the Illinois Lottery isn't sending money to Illinois schools. In the fiscal year 2005, for example, $614 million to the Common School Fund which supports K-12 public education in Illinois. Some simple research on their web page will give you a complete breakdown of revenue, expenses and fund transfers.

rick (Sent Wednesday, February 28, 2007 2:03 PM)

One man's glitch is another man's bankruptcy.

Desmond (Sent Wednesday, February 28, 2007 2:35 PM)

Greenspan says recession likely. Bernake says not true. Uh-oh, say it with me now, Bernake is giving Greenspan a whoopin'.

Desmond (Sent Wednesday, February 28, 2007 2:36 PM)

We'll see how good our ecomony is when this debt the Repub's have created comes due.

Connie (Sent Wednesday, February 28, 2007 2:38 PM)

Desmond - To be fair, I believe that Greenspan said that we COULD go into a recession, not necessarily that one was likely. I believe that there is that chance. The yield curve has been inverted for a while and that usually precipitates a recession. Not only is the yield curve inverted but the yield on the 10 year is lower then fed funds and that doesn't happen very often. However, in my opinion we won't get a recession but instead have a classic mid-cycle slowdown (a la 1995 and 1985).

Ryan, Michigan (Sent Wednesday, February 28, 2007 2:56 PM)

Once, twice, three times a lady. It's a fact now guys.....we're all ladies.

M.E., Albany, Ga. (Sent Wednesday, February 28, 2007 3:00 PM)

The one thing that binds all Americans together, Republican or Democrat, is our inability to spell the word LOSE correctly.

Just Saying, Here, Now (Sent Wednesday, February 28, 2007 4:04 PM)

Ryan, that inverted yield curve has been out there for quite a long time. Economists do not seem to be able to decide what that means.The latese GDP, PPM, may give us an indication of what is coming our way. I have a solid investment in the bond market. I probably made money there yesterday. As for the rest of my portfolio, Mama Mia.

Desmond (Sent Wednesday, February 28, 2007 4:35 PM)

Have you others out there noticed that a very few leftists attempt to bombard, dominate, and obscure any possible intelligent blogs with their smug, inane commentary daily for the past several months? Do the names Seattle Sue, Catalano, Turner, Olivia, and Desmond ring a bell...a cracked one at that? Don't waste your time attempting to engage these vacuous minds in any constructive venue. The only possible benefit is that these blogs keep them off the street and from operating vehicles on public thoroughfares.

John B. Doe, Seattle, WA (Sent Wednesday, February 28, 2007 4:36 PM)

Just. That's why a few have learned to spell the word 'Cheat'.

Steve Turner Cedar Falls Iowa (Sent Wednesday, February 28, 2007 4:39 PM)

It's funny that it wasn't the economy for the many years it's been roaring, then all of a sudden the Dow blips and "It's the economy, stupid" all over again. And I am certain I don't want another Democrat riaising my taxes. They are already proposing the biggest tax hike in history. I'm absolutely sure the economy would do well after THAT passed. I hope you can read the sarcasm between the lines.

Neill C. Montgomery, Alabama (Sent Wednesday, February 28, 2007 5:01 PM)

"A Yuan saved...is a Yuan earned." - Dubya, quoting from Mao's Little Red Book, to the Twins.

Steve Turner Cedar Falls Iowa (Sent Wednesday, February 28, 2007 5:35 PM)

Ryan, the operative word here is "Communist" China.

Desmond (Sent Wednesday, February 28, 2007 6:12 PM)

Seatle Sue, Catalono, Turner, Olivia, howdy. See you at the meet up tonight.

Desmond (Sent Wednesday, February 28, 2007 6:14 PM)

Ken, howdy. You are invited to the meet up also as I am sure you know.

Desmond (Sent Wednesday, February 28, 2007 6:40 PM)

Desmond, I want a special invitation to your meet up. After all I am.....

Still Crazy After All These Years (Sent Wednesday, February 28, 2007 6:41 PM)

Well whaddyas know, somebody, who is afraid to use their normal name, is tryin ta be cute, usin da John Doe moniker, what gives the identity away is the smarmy condescendin method of the delivery o' crud, tryin ta smear it all over the folks what tend to hand out reasonable dissertation on the state o' our country and it's political face on a regular basis. I applaud those he/she is tryin ta smear cause even if I dont agree with them, I would NEVER try ta tell them, in any way, shape or form that they should not be a talkin on these here pages. Thems folks be fools what can't abide other's talk cause it offends their sensebilities and trys ta shut up them with different viewpoints. This Is America, and the RIGHT to be able to speak our minds, without being told that we should shut up or ANY other method of censorship HAS to be protected. Trying to tell someone that their opinion is not to be given or is unwanted is just plain ignorant of the realities of this here great nation. Note, I do NOT say that this individual should not be a speakin his/her mind, but has NO right to be a tellin the other folks not to be a speakin theirs or to be tellin other folks to be ignorin them. Dat's jus' the truth o' da matter! On da money matter, da stock market is ALWAYS a gamblin' thing, and only da house and those with enough money ta cover all the numbers are those what wins, the rest is a matter of "Ya pays yer money and takes yer chances".

Annada Human on da Planet (Sent Wednesday, February 28, 2007 6:50 PM)

Knock Knock Who's There? China. China who? China who is sending you a warning that if they want to bankrupt your country, they will!

FuglyRepublican (Sent Wednesday, February 28, 2007 7:36 PM)

Still Crazy, I suggest you keep yourself off the list,bro.Nobody would listen to you with a name like that.

Desmond (Sent Wednesday, February 28, 2007 7:47 PM)

John B. Doe Seattle Wa.---Why don't you go down to pier 54 and walk west on it. I can express my opinion here just the same as you. You don't know anymore than someone else, its just your thought. I will not stoop to your level as to calling people names or insults. So you just keep on walking west on pier 54 down town Seattle.

Seattle Sue (Sent Wednesday, February 28, 2007 8:53 PM)

Hmmm, I believe I predicted around 2/1 that within a few weeks economists would be telling us that things aren't as rosy as the White House has been claiming. That prediction was based on my vantage point within the transportation industry, which experienced extremely slow business in December and January. In fact tonnage for January was off 3.3% compared to 2006 and inventories remain extremely slim. My prediction is that around March 1 we'll find out that things have stabilized late in February. Shipments have rebounded slightly late in the month, probably the result of inability to further draw down inventories. As I mentioned at the beginning of the month, ask an economist if you want to know what happened. Call some trucking companies if you want to know what's happening now.

John B, Des Moines, IA (Sent Wednesday, February 28, 2007 9:18 PM)

Desmond and the Gang of Six or Seven or sometimes more, aka 'The Magnificient Seven to Eleven". Sorry I'm late...I forgot which PO Box the Party Meeting was at? Go figure. I've brought some Volga Moon Sevruga Caviar, three half-gallons of Starka Vodka, four pounds of Sochi Bleu Cheese, Ukrainian toasted barley soda wafers, and a little Baikal salt. Nasta rovyja! Komrade Independentsk! Ja Potebbe Skuchayu! Geez, I hope it's not "Inca Night"!

Steve Turner Cedar Falls Iowa (Sent Wednesday, February 28, 2007 10:53 PM)

Steve Turner,glad you figured out the P.O. box. We have to keep those sites secret, as you know.Maybe by this evening we will have a few more "members" added to the list.

Desmond (Sent Thursday, March 01, 2007 8:24 AM)

John B, Des Moines, I remember reading your post.I hope that stabilization occurs soon. This morning's futures paint another bleak day. I even heard one economist on CNBC mention a stock market crash within the next several months.

Desmond (Sent Thursday, March 01, 2007 8:38 AM)

John B. Des Moines==I too remember your post showing your prediction of the economy slowing. And if I remember right you were ripped up one side and down the other side for doing that by the radical right wing posters at this site. Have you noticed a few of the right wing posting here only post hate and name calling? I think it just show their ignorance. Don't you think Bush should come out in the rose garden and tell us how rosy the economy is. Dow is down 175 points as I write this.

Seattle Sue (Sent Thursday, March 01, 2007 9:56 AM)

I've developed a pretty thick skin when it comes to the rabid right. They hope to silence opposition by shouting it down. If someone wants to disagree with me based on facts I'm with that, but don't accuse me of hating America. I love my country and I'll do what I can to save it from authoritarian ideologues.

John B, Des Moines, IA (Sent Thursday, March 01, 2007 10:55 AM)

Kind of like when the economists and Clinton's own aides said Clinton's economy wasn't as good as he claimed it was. Damn politicians!

Neill C Montgomery, Alabama (Sent Thursday, March 01, 2007 12:04 PM)

Steve, Desmond, and other P.O. Box Dwellers - May I attend your meeting? I've done my duty for the country by producing offspring to serve as cannon fodder and now I'm supposed to stay in the kitchen and shut-up. If I turn on the radio I might get misinformed. The cat is nice company, but his conversational skills are lacking. I'll bring cookies.

Mel, Illinois (Sent Thursday, March 01, 2007 12:51 PM)

Mel, I don't have a problem with that. I'm sure other bloggers would lump you with us.Cookies? Anything but peanut butter cookies.How about ginger snaps?See you at the meet up.

Desmond (Sent Thursday, March 01, 2007 1:19 PM)

Desmond says I am not allowed, but I have a name for the group RUTUS (Round Up The Usual Suspects)

Still Crazy After All These Years (Sent Thursday, March 01, 2007 1:23 PM)

Mel, I answered your post but it didn't go through. Fine by me. Cookies? Not peanut butter. How about ginger snaps? See you at the meet up.

Desmond (Sent Thursday, March 01, 2007 3:04 PM)

Desmond, I'm looking a Grandma's ginger snap recipe right now... two cups of sugar, a cup of strong coffee, real butter...hope nobody is on a diet. See yah!

Mel, Illinois (Sent Thursday, March 01, 2007 3:22 PM)

I would like to come to tha party! I am not one that puts up a lot of posts, but when I do they certainly get shot at enough. Guess some folks are afraid of facts and truth when it bites em. I always figure I will be Rounded Up With The UsualS as well!! Foodstamps dont buy as much as I would like but I will bring what I can to the party!!

B. Honest, Portland Oregon (Sent Thursday, March 01, 2007 4:12 PM)

B honest, howdy. Welcome to RUTUS. Had to give a consession to Still Crazy.We can always use napkins and paper plates. See you tonight at the meet up.P.O. Box unknown to everybody else.

Desmond (Sent Thursday, March 01, 2007 7:35 PM)

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