Recovery When? How About If?

The American Thinker ^ | June 25, 2009 | C. Edmund Wright

[Scanian]

Shhh. Don't let this get around, but Warren Buffet just let the cat out of the bag -- no economic recovery in sight.

Well no kidding. I have long tired of the economists and investment gurus debating "when our economy recovers" and how to position your investments for "when America bounces back" and so on, as if it's a foregone conclusion.

Haven't they heard? The America that always recovers is not in anymore. Any assumption of a recovery fails to consider the idea that we now have a government run by people who ignore American history and who are hell bent on changing America's future.

Obama has done more than apologize for America's greatness and generosity while abroad. He is wreaking havoc on the economy that paid for that greatness and generosity at home. Don't you remember? He is "the one" we've been waiting for to finally do something right around here.

Thus the conviction that Americans always bounce back and bring their economy with them is not necessarily relevant anymore. The rules for business have changed and continue to do so daily. Incentive has been devastated. The reliable motivations of the past do not matter, because most of those dynamics have been targeted as what is wrong with this country and they are systematically being removed at a stunning pace.

In reaction, Atlas is shrugging. And who can blame him (and her).

We cannot be on the verge of any meaningful recovery because we are in a downward swirl of liberal policy consequences -- and we have a government determined to correct this by getting more and more liberal.

[Jimmy Valentine]

The recovery will start with a huge stock market bull rally on the first business day after the January 2012 inauguration of a Republican president.

[autumnraine]

“Well no kidding. I have long tired of the economists and investment gurus debating “when our economy recovers” and how to position your investments for “when America bounces back” and so on, as if it’s a foregone conclusion. “

Absolutely! I hear Clark Howard and Dave Ramsey and they are acting as if this is a little speedbump. Normally, I would say it is, but honestly I don’t have any faith that this economy is going to be what it was any time in the near future or even 20 years from now. Not with Obama in charge.

Maybe it’s me, but I have a feeling of doom that I haven’t ever felt before. And I can see it on the faces of others even if they aren’t saying it.

[autumnraine]

“Well no kidding. I have long tired of the economists and investment gurus debating “when our economy recovers” and how to position your investments for “when America bounces back” and so on, as if it’s a foregone conclusion. “

Absolutely! I hear Clark Howard and Dave Ramsey and they are acting as if this is a little speedbump. Normally, I would say it is, but honestly I don’t have any faith that this economy is going to be what it was any time in the near future or even 20 years from now. Not with Obama in charge.

Maybe it’s me, but I have a feeling of doom that I haven’t ever felt before. And I can see it on the faces of others even if they aren’t saying it.

[exit82]

You are not alone.

Nothing our officials are doing is fixing the problem. It will only make the problems worse.

And the American populace is so dumbed down, they will never see it coming.

[Neidermeyer]

We’re turning into Europe ‘72 with the future for us just as bleak as it has been for the last 30+ years for them. Instead of RAT and RAT-lite we could end up like England with RAT and LOONY.

[JDoutrider]

Good read...

[wastoute]

Read Steven Keene, Aussie economist. Real growth can't begin until the things in place that spurred the "bubble growth" of the "M" formation are undone. This can't happen until prices and values return to what they were at that time. 1988, DOW 2000. Buckle up, the ride ain't over. Keep your arms and legs inside the car.

Μολὼν λάβε

[Dustoff45]

January 2012 inauguration

Lets see -

January 2012 inauguration take way

January 2009 inauguration equals

3 year BHO term

I've been making this mistake ever since the November 1952 election of Dwight David Eisenhower, followed by the January 1953 inauguration

We have to pause and remember the election is on the even year, every four years, then the inauguration follows in the odd year.

But I am with you. We have BHO, followed by Biden, followed by Pelosi. In the normal course of events, it is messed up.

We need a strong turn-around in the house in the mid-term elections.

[ryan71]

Seriously, I don't see us recovering in the foreseeable future. If he is booted out and his programs are rolled back, maybe in 6 years.

[Vaduz]

No economic recovery in sight.Obamanomics here’s your change.

[IamConservative]

I am beginning to think Health care reform is a smokescreen. The real economic Armageddon is cap and trade and it is quietly heading to a vote today. There will be no economic recovery of that pile of feculence becomes law.

[Jimmy Valentine]

Thanks. Good reminder to think things through.

[only1percent]

Ridiculous.

A recovery happens when people start to think it's happening: it's that confidence which leads banks to relax lending standards and companies to increase their orders, staffing and other capital and operating outlay commitments, and it's that spending / investing which in turn actually causes the balance of the recovery into other decision makers who may not have had the initial confident feeling.

That shift in sentiment always occurs, and it doesn't take particularly long absent the most catastrophic of conditions.

The real question of interest isn't whether we'll have a recovery, but how good will it be, and what kind of structural real growth rate will we have when we emerge from the recovery. A structural growth rate of 1.5% is spectacularly different from and worse than a structural growth rate of 3.0%. A China / India style growth rate of two or three times that basically means a society that is undergoing the economic equivalent of revolution.

That's the threat that Obama really poses. His acceleration of the trend to socialization of important areas of the economy, and deeper regulation of others, which (if we're honest) we recognize that Bush and the Republican Congress kicked off, and the higher taxes that will fund that trend, are major threats to push our structural growth rate way down. However, we fail to fight Obama's policies effectively if we say that they mean permanent recession, because when the recession ends, as it inevitably will in the next 3 to 12 months, he can use that to discredit his opponents.

[GBA]

When or if we have a recovery has its first chance with the 2010 elections. Everyone here knows that Congress, not the President, writes the laws and even Bill Clinon was reigned in by a fiscally conservative Congress.

Unfortunately, given the fast track/take advantage of a crisis approach Pelosi, Reid and obama have us on and the unlikely chance that conservatives will be able to out politic the rinos and regain majorities in the House and Senate, America's best days will be in the rearview mirror for a long, long time.

[Texas resident]

The recovery will happen when consumers and businesses feel confident that they can make back the funds they are spending today. But this will not happen until the taxing authorities and government agencies get out of the way. obozo and his team are committing to spend trillions we don’t have so we know taxes will have to go up. And not just on the “rich”. They will have to tax everyone all down the line and it still won’t be enough.

[NonLinear]

Great find.

[VTenigma]

I am beginning to think Health care reform is a smokescreen. The real economic Armageddon is cap and trade and it is quietly heading to a vote today. There will be no economic recovery of that pile of feculence becomes law.

Bingo, we have a winner! No cap and trade, no money to fund the health care disaster. While you’re keeping an eye on the ball, watch what the other hand is doing.

[Scanian]

I’m glad you liked the post.