For months, beleaguered American consumers have defied expert forecasts that they would soon succumb to the pressures of falling home prices, fewer jobs and shrinking paychecks. Now, they appear to have given in.
On Wednesday, the Commerce Department reported that the economy continued to stagnate during the first three months of the year, with a sharp pullback in consumer spending the primary factor at play.
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NO CULTURAL PARADIGM CAN SUPERSEDE THE NATURAL PARADIGM OF OUR TERRESTRIAL COSMOLOGY, NOR ITS ARBITRATION!
If we want our cultural paradigm to be successful, it must reflect the nature of singularity, not the infinity of distinctions. Yesterday, a republican strategist stated that the oil companies should not be penalized, and they should not be "penalized", for being successful in our "free market" economy. However, the problem with this sort of thinking is that it is steeped in a myopic "pyramid" view of society, and the world, which is good for ants, and bees, but not so good for an evolving species, nor a creed that supports the good of the "general welfare". In other words, there must be balance, or certain chaos.
The problem is that we have given material itself, with its intrinsic limitations, lordship over our destiny, not ever understanding that it is HUMAN CAPITAL, and its cooperation, that is the true conduit to infinite riches. Think of all the greatness of human potential that has come, and gone, because of the narrow benefits of Social Darwinism. And of course, most people are too selfish, and cannot imagine an alternate economic system outside of the current one, a system that is free, and yet mindful of the common good.
But as it is reflected in the wisdom of "I Believe I Can Fly", one cannot do, what one cannot "see". And one cannot do, what one cannot believe.
After reading the story and comments, I have concluded that we (trolls excluded)
are very clear about the problem & who is to blame but nobody is really ready w/
a solution except the neocons who've been working their plan for the last 40 yrs.
Our Congress, Courts and the MSM have all been co-opted, coerced & corrupted,
to the point that they're not just useless but active participants in this conspiracy.
The economic collapse that's coming is INTENTIONAL, not by mismanagement,
but a fucking fascist conspiracy to shock us into accepting their plans for America.
Through privatization, profiteering and promulgation they will recreate our country
in their own fascist image, bringing about GHWB's dream of the New World Order.
ST2P
If consumer spending is 70% of GDP, what happens when consumers lose confidence? And confidence is an attitude affecting behavior. Tell consumers long enough and often enough the economy sucks, and voila! It sucks.
So the problem is all in our silly little heads? What a boob!
Gotta love the headline. What next? Fever causes malaria, rectal bleeding causes cancer. The ease with which folks accept double speak is just amazing! Non of this is becasue of an irresponsile and incompetent government or out of control' greed driven' industries no the economy is in the crapper because folks aren't going to Walmart! And the poor nut job trools think this is liberal hype, its unfortunate that those poor folks don't take their meds. The cause for reduced spending may be of some interest, could it be; that we have no energy policy to speak of and folks are concerned about heating or cooling their homes, that the value of the average family's largest investment ,their house, is going south, that food prices are rising due to our non existent energy policy and the folly of corn as fuel, That inflation, if it included food and energy, is much greater then the BS number government and corporate Pravda, aka msm, gives us, that conservative savers and investors are seeing decreased returns because interest rates are reduced to bail out criminal bankers and mortgage companies. Coudn't be, gotta get them folks to walmart, send em a check.
Yesterday, after having made two reimbursed work trips in my car, I had to fill up the gas tank, then stopped at the grocery for a few fresh vegetables and necessities.
What a depressing day that was!
I started feeling compassion for the checkers in the grocery line; how in the world will they make it and still feed their children decent meals?
Young people and people near minimum wage could not possibly have a "cushion" the savers on here speak of. There's no way for them to save and still provide for their families; no doubt they go without in many areas.
Low Consumer Spending Taking Toll on Economy? Well then, lower interest rates so Seniors will have even less to buy necessities. Somebody tell Bernanke to get out of the limo and visit some food pantries.
I don't know what's worse, orange juice costing more than a gallon of gas or gas costing almost as much as orange juice?
The only compulsive buyer in the world that doesn't have a credit limit is the US government. The rest of us have to face the music someday.
You have to wonder if this is another "fair and balanced" type of story. Yesterday it was widely trumpeted that we are NOT in a recession because the economy "grew" at a rate of 0.6% in the first quarter. Then today we have this story, which is clearly closer to the reality on the ground. Yesterday we were urged to keep spending, today we're told we aren't spending.
I have seen a MARKED decline in discretionary spending already. Businesses around here are dropping like flies, prices of necessities like food and fuel go up almost daily. And, unbelievably, some people are actually driving 5 mph below the speed limit.
This is really just the wind starting to come up a bit before the storm. When it hits, we're all going to turn into the peasants that the GOP has been working to turn us into since Reagan.
-Wexler
We are citizens of the United States of America and not daggone consumers!!!!!
The economy has failed us. We don't exist to support corporations!!!!!
But this is the evolved-business-brain-mentality of today's White House Neocons.
Just as patients at hospitals are no longer patients; they are customers. The bottom line, PROFIT, is the most important goal post.
Everything/everybody is several degrees removed from being a living, breathing, feeling human being.
We are collective casualties, as in the war. We are expendable. We are statistics being manipulated by those running our pseudo-Democracy.
How much oil is being consumed by the military in this mindless mission in Iraq? I can't imagine that those humvees are running on American patriotism. Not to mention those carriers and jets.
They're burning a lot more fuel operating in Iraq than they would in the course of normal peacetime training. They're also wearing out equipment much faster than they would otherwise. The C-17s and C-130s are taking a beating keeping up the supply effort.
Yes indeed, we are taking a break from buying your chemical-laden, sweatshop-assembled, quality-deprived, over-priced crap.
NO JOBS WITH DECENT SALARIES, NO BENEFITS, MEDICAL INSURANCE THAT WON'T PAY FOR ILLNESS, USA OIL CARTEL AND CHENEY ROBBING THE AVERAGE CITIZEN, BANKS GETTING HUGE BAILOUTS WHILE THE AMERICAN HOME OWNER GOES TO LIVE IN THEIR CAR OR WITH RELATIVES, EDUCATION OUT OF SIGHT, A HUGE DEFICIT BY THE WAR FOR OIL AND MONEY FOR THE GOP, LOBBYISTS BUYING MORE AND MORE INTO THE GOP TO KEEP THEM IN CONTROL OF WHAT WAS ONCE A GREAT COUNTRY...CONGRESS HAS A MAJORITY OF DEMOCRATS BUT NOT ENOUGH TO OVER-RIDE THE GREED OF THE GOP WHO KEEP SIDING WITH THE RICH AND ULTRA RICH. MCCAIN WANTS TO LOWER TAXES FOR CORPORATE UNAMERICA AND WHO DO YOU THINK WILL HAVE TO MAKE UP THE DIFFERENCE...BOHICA...BEND OVER HERE IT COMES AGAIN.
Did anyone see McCain's idea for healthcare? He was asking people to go out walking for half an hour everyday. Yes, I'm sure that is going to improve the health of a person who has a tumor. Is there any doubt that Republicans are sick?
McCain, as rich as he is, he should not even accept the Veterans Check. I don't see
anything wrong with him other than he is old and feeble. But these guys in congress/senate are never above accepting the FREE Money from the government.
Hey jackass, it's not free for Senator McCain. It's called a retirement check from the Navy for services rendered and a disabilty check from the V.A. for injuries received while serving. Only an idiot from Berkley would think this was free, what have you done (and I mean for someone/something other than yourself)?
Hey HuffPost- kinda stale news page here. What's up with the re-tread stories? Check out some of the daily publications and you might get a topical story up on your webpage. I'd like to see some more video of how Hillary Clinton couldn't figure out how to get a cup of coffee at a convenience store. Duh! duhduhduhduhduhduuh woman of the people----yeah rigth.
Note to Corporate America: People who don't make any money can't afford to buy your stuff.
everybody keeps complaining about rising prices; this is a misconception. what's actually happening is the lowering of the currency's value, and just yesterday the federal reserve bankers did it again. they cut the rate, printed more money and screwed the average american in favor of themselves (wall street). these thoroughly useless pen pushers will squeeze until there is nothing left to do but revolt. hopefully, it will be a bloodless one!
WHEN OIL COST $30 A BARREL IN 2000 AND NOW COSTS $119 A BARREL THAT IS RISING PRICES...YOU CAN STACK, IT CUT IT, AND PUT IT ANY WHICH WAY YOU WANT, BUT THE OBVIOUS IS AN INCREASE IN COST.
NO!
IT IS AN INCREASE IN THE FURTURES PRICE!!!!!!!
THEY HAVE BEEN BUYING OIL FURTURES AND DRIVING UP THE COST !!!!!!!
THE OIL WOULD BE $ 30.00 A BARREL IF PEOPLE WOULD STOP DRIVING UP THE FURTURES MARKET!!!!!
THERE ARE MANY MUTUAL FUNDS AND HEDGE FUNDS INVESTING IN THE COMMODITES MARKET ESPICALLY OIL AND BUYING OIL FURTURES BECAUSE A TEXAS OILMAN (EVEN A FAILIURE OF AN OILMAN ) IS IN THE WHITEHOUSE AND HE WILL DO NOTHING TO STOP THEM FROM DRIVING UP THE PRICE OF OIL!!!!!
Cost of Goods - this has me stumped. On my operating statement, when the cost
of goods rises, I also have less on my bottom line, called Direct Operating Profit (DOP).
So how does more profit for the oil companies explain this? They don't have to pay
that high price of oil I suppose. I have no other explanation. Or are they dealing with
yesterday's oil prices?
The article pointed out -"forcing many to live within their incomes".
Gawd, look how terrible life in America has become. Living on more than ones income was a birthright and an entitlement. Why hasn't the government bailed all of us out,yet. Why does the government hate America.
It all seemed a kind of "manifest destiny".
"Why won't the world allow us all to just get along?"
Ate tonight with my wife at one of my favorite restaurants, Marie Callendars. Prices have gone up 3 to 4 dollars for dinner entree's. Went to Safeway afterwards. Lemons, a dollar apiece. Good Orange juice, 13 dollars for a gallon.
I'm just glad my 4 cylinder car doesn't run on orange juice, or I'd be walking to work.
I always like when I hear the Wall Street Report or whatever on WLW.
Every week they say consumer retail spending figures are up.
Then they tell you why.
Because of spending on retail gasoline.
Wow. There's a robust consumer economy indicator.
It is all in the "spin."
I was suspecting that.
In 91-92 recession the Bush admin. released upbeat housing numbers, it looked like a bright spot in the middle of a recession. The numbers were revised a month later, they were counting bank reposessions as a change in owner, and hence a "sale" I don't trust the numbers esp. during Bush admins.
We in retail have to report when someone quits at a job we have to report as
a "new job created."
People have no money--just credit and very little of that. I think it comes down to this: The advocates of free-trade have traded away the comparative advantage the United States once had; closing thousands of factories here and, literally, shipping them off to Mexico, Asia and other places.
Supposedly "comparative advantage" is the very bedrock of free-trade. But did its proponents ever dream there would be a nation, so stupid, that it would destroy all of its comparative advantage for cheap Chinese goods leaving its people to subsist on credit?
Paul A. Samuelson, the Nobel Prize-winning economist and professor emeritus at MIT has reassessed the advantages of free-trade; that globalization has its limits; that it was simplistic on the part of some economists to assume that free-trade is win-win. At some point, he predicted that real losses from trade could exceed the benefits affecting, not just local industries but doing serious damage to the national economy as a whole. He was right--it is happening.
I just heard this number on the tube a day ago, had inflation been calulated by the pre-1980 method we are currently running inflation at 12% Now thats a more realistic number most could relate to. But now those wage numbers have been over estimated in comparison and government pay outs indexed to inflation, reduced such as Social Security.
Thank you Alan Greenspan
This is the consequence of 20 years of Bush and Clinton in the Whitehouse. . .
I can't believe some of us are even considering putting in another Clinton for another four. . .
Is this country a democracy or a monarchy. . .
Come on, turn the page!
Exactly zorrobozo,.... we need some 'new' blood,... preferably new blood that isn't a corporatist whore millionare.
But like that is going to happen soon,...
hey, if we had the cash we'd spend it...go talk to the oil and banking industry, see how long they're going to dangle us over the sharks
That's the EXACTLY the problem with Americans. No one saves ANYTHING. It's always spend, spend. Funny that those of us who were smart enough to save money and to shop wisely are not having one bit of trouble during this economy. No I'm not rich. Just smart with my money.
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New York Times | PETER S. GOODMAN | April 30, 2008 11:48 PM