Second Great Depression Still Possible: The Financial Times

ft.com:

Over the past year the global economy has experienced a massive contraction, the deepest since the Great Depression of the 1930s. But this spring, economists started talking of "green shoots" of recovery and that optimistic assessment quickly spread to Wall Street. More recently, on the anniversary of the Lehman Brothers crash, Ben Bernanke, Federal Reserve chairman, officially blessed this consensus by declaring the recession is "very likely over."

Read the whole story: ft.com

Comments

[my post]

WE HAVE HEALTH CARE WE HAVE HEALTH CARE CONGRATS OBAMA 4 GETTING IT DONE!

good articles; http://br.st/tU

[factotem]

A risk? Pffft.
It's guaranteed since Obama couldn't grow a pair and punish Wall Street.

[texastrixie]

There is a real threat that this slide could continue into another Great Depression, and for the reasons noted. I am loathe to spend money if, for no other reason, than little I buy in the stores is actually made in this country. Except for the employment of sales clerks, consumer spending adds little to the real wealth of this nation. We don't make anything here, and its finally catching up with us.

Yesterday I actually bought something I didn't have to have. Sitting in the mall, having a cup of coffee, I thought about this purchase, checked it - of course, "Made in China." It was a good deal, but not a GREAT deal. Went back to the store, and returned it. Even if a bargain, cannot get excited about buying anything right now.

Even if your job seems secure, who knows anymore? And even if you're okay, you never know when your grown children (and their children), or your brother, or your cousin Fred, or even your parents are going to show up on your doorstep and need a place to live.

I am amazed that the rich in this country seem oblivious to the fact that we are headed towards a poverty-stricken norm for many, many people. And they are crazy if they think people will be satisfied with a bowl of soup and a piece of bread to feed their children every night for years on end.

[marijam]

Raise tax rates to redistribute the wealth at the top. That's the only way to force money down the slope since the top 5% hold 95% of all income. There's no way that the remaining 95%, with only 5% of the income can spend us out of this.

[marijam]

Some communities are already having a Second Great Depression. During the First Great Depression, was every single state, every single community experiencing double digit unemployment at the rate of 25%?

[merger]

We know this isn't over. Even though millions of Americans are walking with their head in the clouds and still betting the farm that it is over. We know in our guts that anyone--individuals, corporations, banks, and govts-- that spend more than they make and borrow to the limits and beyond, are headed for a crash. So far, "robbing Peter to pay Paul" is buoying up the system, but eventually it all comes due, and your ability to borrow is gone. As my grandmother -who lived through the "Depression" used to say: 'When your outflow exceeds your intake, then your upkeep is your downfall."

[Sundialsvc4]

The Great Depression of 2008 is well on its way. It is being denied, even as it happens, exactly like 1929-1930.

But this time, there is Blogging.

In 1929, the very same financial crimes were being committed (hence the Glass-Steagall act, et al), and public corruption was just as rampant, and the house-of-cards collapsed in the same way. (And by the way, plenty of Wall Street speculators made a paper killing...)

This time, the same crimes are being committed once again and gullible public officials are consuming(!) milions of dollars a DAY in unabashed bribery. The bribers are insisting that this is their inalienable right. The politicians alternate between outrage, amnesia, and confusion.

It has not dawned on any of them that 307 million people in this country (and billions of other people on the planet) are PERFECTLY aware of what is going on. They are Plaintiffs, and they know it.

It has also not yet dawned upon them that their days are done. We, the People of this country, have a simple choice: either we accept their crimes and fall with them, OR we expunge these crimes from our midst and cast-down the criminals, one and all.

There are less than seven hundred people, in total, that are "doing this" to 307,682,110 others.

[Louige Damion]

When one new coming King chosen by the kingdoms people to represent them and their interest and turn back the evil done to them by their former despot, then in an unbelievable move chooses to keep the managing ministers who failed by conducting immorality for the benefit of their former boss and his cabala as the new administrations ministers of management, already there the citizens enlightened with enough mental capacity and not to speak about a normal enough sight, will soon spot the stark naked Chihuahua that should be shamelessly trying to cover it self up but instead is rather bluntly shaving it self in plain view. I have only one way to explain the phenomena for anyone who might like to get it in another way.

"The significant problems we have cannot be solved at the same level of thinking with which we created them."
- Albert Einstein

What it means? That you cant put the same thieves into the bank valve that they them selves helped loot.

[dadw5boys]

What do you really know ????


WE’LL KNOW OUR DISINFORMATION PROGRAM IS COMPLETE WHEN EVERYTHING THE AMERICAN PUBLIC BELIEVES IS FALSE’: William Casey, Director of Central Intelligence: An observation by the late Director at his first staff meeting in 1981. This observation reveals the mentality of cynicism which infests the US Federal control structures, and the reality that these structures regard the American people with total contempt. This attitude is the opposite to the noble concept of service to the American people which ought to inspire holders of public office, and therefore represents the epitome of decadence.
The evil spirit directing William Casey got the better of him when he committed suicide in hospital some years later, ostensibly to ‘protect the President’. The fantastic verbal fantasies perpetrated on certain US websites that are operating on the basis of Mr Casey’s principle, enunciated above, should therefore be handled with extreme care. Casey warned you!

[davidwayneosedach]

"The recession is very likely over." Come on Bernanke. Can't you get any more wishy washy than that?

[Winston120]

ObamaAndGasBagJoe INSIST their stimulus has kept us from falling off a cliff, "the brink" as they keep saying.

TheseMorons are typical politicians that declare victory and move on.

Tired of being call a " lagging indicator"???

[dadw5boys]

GM went under because of Health Care cost.

Your falling for the game. Remember what Casey said :

WE’LL KNOW OUR DISINFORMATION PROGRAM IS COMPLETE WHEN EVERYTHING THE AMERICAN PUBLIC BELIEVES IS FALSE’: William Casey, Director of Central Intelligence: An observation by the late Director at his first staff meeting in 1981. This observation reveals the mentality of cynicism which infests the US Federal control structures, and the reality that these structures regard the American people with total contempt. This attitude is the opposite to the noble concept of service to the American people which ought to inspire holders of public office, and therefore represents the epitome of decadence.

[Winston120]

And what exactly do you believe Obama is doing for the middle class these days?

[mcguffog]

The reason that another economic collapse is real is that similar conditions exist as described by John Kenneth Galbraith in "The Great Crash of 1929". The politicians place policies like globalism ahead of the interests of regular people. Wall Street and the Mega Banks are busy looting America.

[RomeoMD25]

The dollar collapsed 6 months ago. It’s finished, washed up.
There won’t be any recovery. Doesn’t matter who the U.S. thinks they can frighten.
It’s OVER!

Like all other GREEDY Bastard economies that thought they could rule the World.
Time’s UP. Get used to it.

[studlyguy]

I hate too break it the banksters ,but we are already in a second great depression,cause I see and live in the real world ,not the ivory tower of NWO ,where they really NWO know what is happening in the real world cause this is all apart of the master plan ,and pretending that they don't, is old news.

[leduck]

WE ARE NOT OUT OF THE WOODS
AS LONG AS WORLD OIL PRODUCTION REMAINS ON A PLATEAU, we will have to continue to worry about the stat of our economy. Right now, world oil production has been flat since 2005. The gas spike last year was the main reason we ended up in this resession. High gas priceses did nothing to increase world oil production since 2005. Less discretionary spending, plus a lack of credit (the US living beyond it's means), means wer are far from out of the woods.

If the resession ends, and world oil production remains flat, then oil demand will rise as more people hit the road. Since the supply curve isn't moving, this will cause another spike in the price of gas forcing us into another resession.
That's the good news.
If oil production can't rise anymore due to PEAK OIL, then at some point within the next few years, world oil production will begin to fall (terminal decline), and this resession will turn into a depression that will make the Great Depression, look like child's play.

Maybei it's time to re-think everything we think we know.

[dadw5boys]

Remember what Casey said :

WE’LL KNOW OUR DISINFORMATION PROGRAM IS COMPLETE WHEN EVERYTHING THE AMERICAN PUBLIC BELIEVES IS FALSE’: William Casey, Director of Central Intelligence: An observation by the late Director at his first staff meeting in 1981. This observation reveals the mentality of cynicism which infests the US Federal control structures, and the reality that these structures regard the American people with total contempt. This attitude is the opposite to the noble concept of service to the American people which ought to inspire holders of public office, and therefore represents the epitome of decadence.