POST SCRIPTS

Hillary, McCain and Obama are all telling us the economy is bad. But, that's to be expected because it's mostly true.
However, it's in their best interests to scare us and sell us on their plan to save us. This is what politicians do and we shouldn't be too alarmed when they tell us the sky is falling.

Q. How bad is the economy anyway?

On a 1 to 10 scale with 10 being a 1929 bull market and 1 being a 1930 depression, then we're probably hanging around 4. We're on unstable ground that could shift and slip into a 3 easy. That's what has us worried and the politicos are playing to that fear.

I'm a little worried, the high cost of gasoline is really cutting into my fun time. Food prices, same thing...and it's really taking a "bite" out of my wallet, no pun intended.

Here are just a few of the potential traps that are ever so close to plummeting the economy into a deep recession:

1. Consumer confidence - lowest in 27 years. This means a lack of spending.
2. Housing implosion and subprime loan write offs.
3. Government spending and debt leverage.
4. Consumer's leveraged to the hilt with less than zero savings.
5. Increasing retail inventories...see #1.
6. High stock PE ratio's indicating market correction near.
7. Banking deregulation of 1999 putting system more at risk (see subprime loans).
8. Inflation
9. Job exodus due to too much outsourcing.
10. Too much corporate corruption - Enron, Bear Stearns - CMS Energy - Tyco, CalPine, to name a few losers.
11. Disproportionate CEO salaries compared to blue colar wages, I think the parity spread here has increased by 5000% in the last 30 years...see corp corruption #10. and #1 which reflects on both 10 and 11..
12. USA is giving up too much market share to other countries, i.e., Japan is kicking our GM, Chry and Ford butts all the way to the bank. That should never have happened...we blew it!

Jack it can't be too bad if people are willing to spend their hard-earned just to bet on a political cat fight to the tune of millions upon millions of buck-e-dents...and...although there are some real challenges ahead they are not, for the most part, anything we haven't faced before.

More to the point...they are not a result of republican policies, which is the real purpose behind many of the scarey headlines.

The left has been trying to smear republicans on the economy since AlGore first uttered the word stupid. I am convinced they have operatives causing havoc in many sectors of the economy. People like George Soros have been known to play with economies in other nations for his own purposes. Also an airline representative was on the radio last week and reminded us that we haven't had a major plane crash for quite awhile. A whistle blower (union activist?) turned in the report that has caused the latest "crisis" in that industry. Policies from the Clinton years making it mandatory to give loans to the "less able to pay" added to the housing crisis. The biofuel debacle has put worldwide pressures in play.

My purpose was not to diminish the real problems that people are having to deal with every day. My purpose was to call attention to the extreme tactics of media and the left to scare Americans into voting for at least two people who will pound nails in our economic coffin and shovel dirt furiously over the grave.

Hi Tina, thank you for your clarification and please let me add that wasn't my intention to be critical, only to point out some reasons for economic concern.

By the way, I think Obama's supporters giving him their $50 and $100 donations is probably more a reflection of their desperation than a healthy economy.. lol

I believe as we sort out all our recent economic debacles like these dumb sub-prime loans and the current price gouging at the pumps we will be fine, I know the sky is NOT falling.

Sure, it may take a little longer and hurt a little more than what we might expect, but that's just life. We will be fine in the long run and I really believe that. However, a little righteous anger at those who have caused the "crisis" is appropriate to stimulating some change and accountability.

Sometimes I like to point out those "bad" economic things so people could make a better and more informed personal economic plan...(now that is the hieght of optimism isn't it? lol)

I know it sounds like too much like mere gloom and doom for no good reason and that can't be popular, but it's real and there is a reason and I guess the bottom line is, that's the risk we always take for calling it as we see it.

Let's keep hammering em Tina... we are making a difference and our polling shows it!!!!

Hammer in hand, Jack.

I'm certain that most of the information you pass along is very helpful to folks as they consider their current financial positions and future. I know we can't "afford" to just sit back and hope that change will bring miracles. LOL

Too bad we had that cold snap...hope it didn't hit your orchards too hard. I've started my "gentle spring rains only" dance and my fingers and toes are crossed...for a good crop.

12. USA is giving up too much market share to other countries, i.e., Japan is kicking our GM, Chry and Ford butts all the way to the bank.

Car companies have suffered from a set of converging circumstances over the years and have been slow to discover how best to compete. GM is making a huge effort to reverse this right now and Ford may be wising up a bit...posted an unexpected $100 Million in profits for the quarter.