I am assuming that most of you remember the phrase "It's the economy, stupid!", used by Bill Clinton's team when he ran for the presidency against George Herbert Walker Bush. The phrase is still accurate today.....just substitute the last word with "America" (or Greece or France or Italy, yadda). Our world economy seems pretty stagnant. The point of this thread? Your thoughts, concerns, rants, etc., concerning your/our economy.
Some experts are giving the economy a 50/50 chance of going into a second recession. Hell, I didn't think we were out of the first recession. Another recession now would bring some real challenges to the economy. Many companies and organizations reduced their staffs to near "bare bones". In another recession, tailgating the one we just slipped out of, many of the long-time employed could face the pink slip devil.
Many, many companies are loaded with cash. In 2009 and 2010 they made organizational changes and/or greatly improved productivity (automation, lean thinking, etc.). As better times came into the picture they still held off on large-scale hiring. Unlikely for this to change soon.
Companies and organizations now do more with less. Labor-saving machinery and technology puts them in a position of strength with little-to-no new bodies gracing the desks, screens, and machines that keep the ecomony rumbling along.
Help Wanted Signs
I am convinced that unemployment is in for years of 9% to 12%. Certain industries will stay at the high end. Those millions of unemployed were once paying taxes (at all levels.....local, state, Federal).
Chances are that your net worth has slid. Maybe a lot of sliding. Our homes are worth less.....some folks, much less. 401Ks, pensions, annuities, etc. dropped so much in value that many boomers (me included) are forced to work longer. I know a number of people in my age group who planned to retire at the 62-65 range. They are now having second thoughts. One of the main reasons: their house was supposed to be sold at age 62-65 and the profit would pay for a long number of years of retirement.
If you are in certain businesses you are doing well. Energy-related is certainly booming. Small nation-wide retail is doing well, such as Dollar Store, etc.
Does this signal an end to the Obama presidency? If voting would just be based on the economy it would. But the Republican candidates, so far, are not exhibiting a strong sense of November, 2012 victory. And they are splintered between the old guard (sometimes called RINO) and the Tea Party faithful.
IMO, many of the policies of the George W. Bush administration AND the policies of the Barack Obama administration put us in this mess. I just haven't figured out if it is just mud.....or quicksand.
What say you?