Posted on 04/11/2010 4:13:41 AM PDT by expat_panama
Ah. So if you're throwing away all your worthless Federal Reserve Notes, please let me know and I'll come over and haul away your trash for you.
Who’s numbers? Cooked Books anyone? He must be limiting his reading sources. Last I looked, the Republics of Kalefornia and New Yuk are about to collapse. Since either is greater in size than most of the European Socialist Combined; America, I think we have a problem.
Yes, it is Larry. And, this is the form of capitalism that has ruined our country. Look at the now and make your money and to hell with the long term outlook!
Capitalism, like socialism loses its credibility when it espouses taking profit in the short term to the detriment of the long term.
Giving Obama and credit for this small spike is absurd. I STILL don't know what the market is growing on.
If it is to be a “V” it will be a peculiar one. This “V” already has a wide flat bottom, if bottom it be.
I have written extensively about the tax-and-regulatory threats of the Obamanomics big-government assault. But most of that is in the future.
But, Larry, business makes decisions about expansion based on perceptions of the future business climate. It's clear that, if Obama's policies are implemented, the climate will be dismal.
Apart from health care uncertainty, there's the specter of CO2 caps that the EPA is implementing very soon as well as quickly rising energy prices with no opportunity to drill in the US.
The economy will undoubtedly improve somewhat, but business is not going to spend any capital on expansion. Economic growth is synonymous with capital accumulation -- we're consuming capital; not accumulating it.
The recovery may, indeed, be "v-shaped", but it will be a distinctly lower-case "v".
In my opinion the markets are exactly like a slot-machine with a progressive jack pot. The number (DOW) keeps going up. but eventually someone is going to pull the lever and cash out...... everyone else will be left feeding the machine.
I can't see anything that put the markets to increase... jobs continue to be lossed, spending continues to increase, taxes continue to increase, and companies continue to release reports they will take healthcare hits in the tens of millions, hundreds of millions, and even billions of dollars...... this just spells more layoffs, downsizing of industry (or moving offshore), followed by a shrinking tax base. It seems like we're just circling the bowl, but they can't quite plunge us down (I apologize for that visual).
The only thing I could see making a "V" is money. Deflation as more people stop buying and prices drop...... followed by a hyperinflationary lift off as funny money hits the system and the interest rates rise because our creditor masters want better return on their money.
Kudlow always is a sunny optimist when it comes to the economy. Nothing new about that. He is what he is.
Of course he is wrong about a recovery. Once the Bush tax cuts expire and taxes go up because of ObamaCare then the economy will tank hard.
....I want to see solid corporate earnings before I’m convinced.
I think he is not discerning between a “sustaining” economy and a “roaring” economy. We saw a somewhat “roaring” or at least well-engaged economy during most of the Bush tenure. Housing prices up and unemployment way down. In fact 4% unemployment is considered “full-employment”, the theory being there are always 4% of workers, moving and looking for work or quitting for personal reasons. In other words, in 2005/06, if you didn’t have a job, you probably didn’t want a job.
Not so, now. People are being laid off and the remaining workers are doing 2 and 3 people’s jobs. As a result, efficiency, and therefore productivity is up and this leads to the stock market going up. But this is a sustaining economy ... people are buying only what they need. Extras and luxuries are generally not being purchased. So Kudlow sees commodities going up. Right, i.e., basics to the economy.
But this will not lead to increased employment. Higher taxes, even by his own words will put the brakes on any small recovery.
Here is a small example from the current news. Nicolas Cage put his island mansion up for sale for 35 million and got no offers whatsoever. Would this have happened back in 2006? I don’t think so.
I believe conservative principles are always right. Any economy has variables and ups and downs. But in the long run, if you want to increase employment, lower taxes. Lower interest rates. Reduce regulations. Reduce entitlemnents and welfare. When you do this, just about everyone is looking for a job and the economy picks up. It’s not hard to know what to do, just hard for Democrats to do it.
not to mention most state governments in the red, California is toast... It appears the very worst is still yet to come. I hope it turns around but our money is worthless paper backed only by debt and false promises.
We need to remember to make the good better. All this toxic depression is for losers.
Larry must have had some really good mushrooms on his pizza last night.
Why is it so hard to comprehend that the ONLY thing that is producing these outward (and temporary) signs of “recovery” is MASSIVE and unsustainable spending of money we don’t have and will never be able to repay, by our criminal federal government?
phhhhllllltttt — You can talk yourself into anything ... That doesn’t make it true. The people I know have and had real businesses.
One friend down the street shuttered his decades long company employing 700 people because the turnaround is just ahead.
Another fellow has put his plumbing company on sustained life support in the last few weeks. He did new home construction. Said the market had washed out for new homes. Turnaround ahead.
The car dealer friend has closed and sold off his lot ... Because the turnaround is just ahead.
Turnaround just ahead — Printing money is a fools game to play for ignorant people’s votes. Like South America where there is no middle class, only wealthy and the underclass, like Kenya.
Nothing will change until we get rid of the Marxist debris infecting our government. Regardless what Kudlow or the rest have to say.
Good article Larry. Yes we are headed on the road to ruin. No that doesn’t mean there are no hills on the road. Pretending there aren’t makes people look as self-delusional as the obamabots. And absolutely true, if we get a clean sweep in November key points could change.
The American public has been lied to for so very long that they believe the state run media and they no longer think, in fact, it appears they cannot think independently.
What is obvious to you and me is unthinkable to the American public. Obama is a radical who is destroying America and he will continue until he is stopped.
I hope you, and Mr Kudlow are right. I am one of those people in the job market right now. I am trying to relocate to GA to be with my wife and kids.
However, I just do not see how a regime that has done every single thing, it could do economically, wrong still manages to produce a V shaped recovery.
WTF? How do you call running up trillions of dollars of unfunded liabilities and debt conducive to economic recovery? The dirty little secret in all this is that by the end of this year taxation will be greatly ramped up on the investing class and all they are doing at this point is trying to maximize profits before selling off before the storm.
Yes, some ‘economist’ may being there is a very important election in November. Spring time always add jobs. Will Summer, Fall and Winter follow Kudlow’s trend? Not with narrow ‘tax credits’ being the incentive.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.