1ºThats awesome! People losing imaginary money and the new scaring people and the government forcing a possible recession.
Gotra remember people, all the money in stocks had ZERO spending power so it literally affects NOTHING until people sell there stock.
Unfortunately banks loan money based off of "assets" such as your stock portfolio. Which is literally gambling. So when people lose at gambling(stock drop), banks realize they cant get paid and their investors start asking for their money.........so a recession starts because the mega rich made terrible decisions loaning to "poor people", and they need to protect their family and other investors while 100s of millions of people suffer
2ºChris Schneider ok…I will explain.
You People attack Capitalism. Fair enough. The alternative is socialism. In socialism, wealth is redistributed. Every tax enacted, the market reacts. Every subsidy, the market reacts- usually with higher prices.
That adds instability to markets.
Case study: Obama’s Cash for Clunkers. The bill offered a $10k tax credit for an electric car purchase.
At the beginning of the Cash for Clunkers, the Toyota Prius was approx $21K. 3 years later, the Prius price tag was just under $30k. The subsidy increased demand (artificially), and prices rose accordingly in line with the Law of Supply & Demand.
Socialism, is very expensive.
3ºMark Sieg Wall Street is in recession not America. 3.4 percentage unemployment. Down from Trump's 7 percent. Added 8.8 million jobs after Trump lost 12 million. Reduced federal deficit by 309 billion. Trump doubled the deficit. Trump had infrastructure week for every week while president and passed no infrastructure bill but Biden did. GDP grew to 6 percent under Biden. Trump had a dismal 2 percent GDP. Passed the rescue act to save the economy that Trump left. Vaccines saved lives, Trump called the virus a hoax. In America we don't re-elect recession presidents. Not Hoover, Ford, Carter, Bush Sr and now Trump all served only one term in recession. We had empty shelves during Trump. Remember no toilet paper? No cleaning supplies, no PPE, no masks, no meats, no paper products? The empty shelves started under Trump in 19. Start over.
4ºBrad Hoff I agree for the most part, however I tend to believe that the most basic of social programs are achievable like Healthcare for instance and an increase in social security payments so that the elderly can actually live decently off their checks. Other things would require way more trust in our government than I could give them at this point so things would have to be implemented in a way that minimizes the chance for any corruption, they would definitely have to be very transparent in how they're doing things but I think the government in general needs alot more accountability than it gives currently regardless of who is running the country
5ºJust FYI: President Joe Biden is NOT Responsible For High Gas Prices!!!!
Gas & Oil Companies Have Been Refusing to Drill on the 9,000 Permits They Currently Have While They Drive The Cost of Fuel Up!!!
--There is actually an incentive for the companies not to develop these resources because for publicly traded companies, these reserves get reported and influence market valuation, Daigle said.--
What Can WE DO About It? Call Your Congressional Representatives & Senators & tell them to put pressure on the Gas & Oil Companies to use those 9,000 permits to drill NOW!!!!
The other things WE CAN DO are:
1. Drive Less if you can.
2. Use Car Pooling
3. Use Public Transportation Whenever Possible.
4. Buy Electric Vehicles
5. Convert From Gas Power in your home to Solar Power if possible.
6. Utilize Green Energy Where Ever Possible.
It's Long Past Time to Undermine the Power That Gas & Oil Companies Have Over We The People & Our Pockets While They Rake in Record Breaking Profits!!! https://www.statesman.com...eck/6986833001/
6ºJohn Silver ah…money that is taxed is earned money. Generated by production. Printing dollars Argentina style, is a disaster, as is clearly seen in our economy today. I live in an affluent community in Marin county. It is getting so much free, federal money right now, they literally have no way to use it. “Gosh, should be build a higher sea wall..
Hummmm…
Maybe run ferries over from the city so people can tacos here, not 5 feet from their front door. Insanity. Somewhat of a pointless discussion, since the republicans will roll the democrats in November, and this nightmare will at least be on its way to ending.
7ºRob Wolfe Trump had one of the worst economy outlook in decades. His economic only rode what Obama left behind after he bail us out of the Bush economic financial meltdown of 08. Want a Republican as president watch a recession come which did in both Bush and Trump administrations. Trump got the vaccine out but no plan to get them in arms. As for the green base? Wind and solar beat coal and nuclear energy for the first time in history in Energy production. The U.S. is behind Ukraine. The GOP has voted for all aid packages with Democrats. The Ukraine policies are being passed by the GOP. The GOP also voted with the Dems on the rescue act and bipartisan Infrastructure Act. So I guess these are both GOP and Dems policies.
8ºBob Howard you don’t know what a recession is, you don’t know when they have occurred, you don’t know who was president in what years, you can’t state anything negative I’ve said about trump nor can you state anything positive I’ve said about Biden. You can’t even come to grips with the fact that I’m not a democrat. Until recently I was a Republican but since I don’t have my head stuck in the sand and this is a free country that I decided to take a break from the party. I could care less about Biden nor Trump. This was my curiosity on whether someone like you could actually see through the self-induced fog that you’ve sunk yourself into and that many economic problems and successes have very little to do with politics. Take care.
9ºKyle Kotalik Interest rates go up (slowly) in a good economy because it keeps the economy growing at a slow, steady, PREDICTABLE rate. If you've ever worked in a business you know that being able to predict the year or 5 years out is *key* to growing that business.
When the economy grows too fast inflation occurs because demand far outstrips supply. Fast growing economies are like a bubble you blow up really hard. It bursts violently (hence the bubble analogy in economic climate discussions). When that bubble bursts in an economy we get inflation or a recession.
When trump was president we were on a record long growth pattern. Obama entered in the worst recession since the Great depression. He worked with congress and enacted policies that encourage the longest period of economic growth and expansion, slowly and predictably, in history. ( https://www.forbes.com/si...conomic-growth/ )
Trump did the economy no favors by thinking stock market equals economy and pressured/bullied the fed into lowering interest rates to zero. When the pandemic hit, that was fine as no one was really spending much. It would have been lowered at the beginning of the pandemic because that's what we do to stimulate economic growth when the economy stalls.
Then recovery began and America opened far faster than other countries (thanks to vaccine access) and our supply quickly became mired in the fact that countries that supply America's voracious consumerism weren't open yet, many still are not open due to lack of vaccines and high Covid rates keeping workforces at home, sick or dead.
Raising the prime rate now slows the economic growth enough that (we hope) it doesn't go *pop* and straight into a recession. Honestly, it was a bit too slow in coming. But with the right applications it should be fine.
Corporations right now are gouging Americans. They're desperate to make up for the lost profits of 2020 and early 2021. So they're making the profits for 2020, 21 and 22 all at the same time on buyers backs.
Anyone with even a little training in economics can see this. It's corporations that need to be reigned in - while this interest increase might not stop them - the reduction in consumer spending WILL - and then hopefully we can get control of the market potential again.
https://www.investopedia....t-rate-hike.asp
10ºDisgraceful that we are now going to buy baby formula from abroad ,just like we are buying Russian oil and corrupt Biden continues refusing to produce US energy fuel and has no idea what happened to the ABBOTT baby formula plant closed down by the INEPT- OUT OF CONTROL FDA since Feb. 2022. Unbelievable and shocking that this could happen in the USA, after the GREAT 4 yrs of Trump’s -America First presidency and the best economy the US ever had.. with under $2 /g gas at the pump . Thank corrupt Biden and his Marxist , anti American Adm. for the highest inflation in 40 yrs, the highest oil/gas prices in decades due to Biden’s closing new oil and nat. gas drilling on US soil , and stopping coal mining, and the shortages of ALL goods in America ,including BABY FORMULA . All democrats and RINOs who are destroying the US economy , the lives of all Americans and placing the world at the verge of WWIII need to be voted out of DC in Nov.
With corrupt Biden’s approval at 39% , lowest of any US president ever , it’s a definite Nov. elections will turn Washington RED and the MAGA agenda will Make Affordable Gas Again .
https://www.newsweek.com/...n-fears-1705078
https://www.latimes.com/p...ential-politics
https://redfieldandwilton...ion-1-may-2022/
https://www.yahoo.com/vid...150702788.html-