U.S. to crash?

[Wysiwyg]

I reckon there is a time when too many people and too much money is under the one system so financial 'control' is lost. Waste and corruption are easier to hide with the pace numbers exchange these days.

 

[wayneL]

It seems that the falling unemployment in the US that I mentioned has been met with nothing but cynicism from most of you lot.

I wonder if your attitudes would be the same if the Republicans were in over there?

Oh brother!

I don't recall Dubya being spared from the wrath of those here.

 

[Glen48]

Most empires last about 200 years USA has had it's turn and like the rest lost the plot, Money is like a big beach ball bouncing around the world never destroyed just landing on a new place each time now it is heading for Philippines deficit of 4% of GDP, Vietnam, Burma, Thailand, Indonesia and these countries are looking for an upgrade from Moody's which Indonesia has just had.
The other place we all knew are going down so time to change your out look of whats going to happen next.

 

[Smurf1976]

I can't be too specific, but something interesting regarding a recent tender at work. 3 tenders received, rough details as follows.

1. Australian company with product made in China.

2. Australian company with product made in China.

3. USA company with product made in USA.

Tender No. 3 won on both price and technical specifications, supported by the manufacturer's solid reputation. Yes, a made in USA product was cheaper than a made in China product, and we're talking about a significant difference.

I can't be any more specific other than to say "electrical equipment".

 

[Tysonboss1]

Most empires last about 200 years USA has had it's turn and like the rest lost the plot,.

Saying that though, the populations and economy of the empire does not disappear,

Eg, The british economy still generates vast sums of weath each year that the investor can tap into even though the british empires importance has been significantly reduced.

So The United states will become less important, But still have a large productive population with a huge economic turnover, and those investor with sound portfolio policy will contiune generating sound returns

 

[Eager]

Oh brother!

I don't recall Dubya being spared from the wrath of those here.

Well, since I wasn't a member here at that time, I'll have to take your word for it.

 

[Knobby22]

Well, since I wasn't a member here at that time, I'll have to take your word for it.

Especially from me. Dubya caused the whole thing with his removal of the anti-Great Depression laws. Combined with his running up of the debt in good times to fight a useless war among other things.

I am sure he will go down as one of the worst Presidents, if not the worst, ever. There were many who agreed, at least partially.

 

[Glen48]

Tysonboss1
That true but look at companies like Apple, Macca's, YUM big business but move off shore and build up in place like China just like a worker going over seas all earning money but doesn't do much for the home country and USA tax problem doesn't give them much incentive to stay in USA.
And USA etc is so far in debt they need to do some thing soon to get out but when 30,000 voters out of 2.7 M eligible voters vote there is a problem when the best man for the job is Ron Paul but cant get a look in it will never change.
Buy gold and hide

 

[Julia]

Especially from me. Dubya caused the whole thing with his removal of the anti-Great Depression laws. Combined with his running up of the debt in good times to fight a useless war among other things.

I am sure he will go down as one of the worst Presidents, if not the worst, ever. There were many who agreed, at least partially.

+1 x 100. Just dreadful.

 

[Glen48]

Don't place your bets yet we still have Newt and Mitt ( the man who believe the world is 5k yrs old ) to show us their wares.

None of the USA president were any good , now they are say Roosevelt wanted USA to go to war so upset the Jap's by cutting off the oil supply and he knew of pending attack on Pearl Harbour so he could get USA in to the war if that is true is shows the depth some will go for power.

 

[howmanyru]

The US could recover but I think it's just too top heavy with Government and the military. There is no political will to make the drastic changes required. Don't forget that magical age of US advancement and living standard was all based on DEBT, both private and governmet. Now lets see what they can do without access to easy cheap funding. Come on Ron paul, you can save em !

 

[Glen48]

http://news.newsmax.com/?KKCv.TdZxR...k?weiss_martin+RWR-DEC-VSP-49+++MNEWS+4826103

Now China is the worlds biggest economy and super power USA has a battle on its hands to get back to where it once was.

 

[Tysonboss1]

Tysonboss1
That true but look at companies like Apple, Macca's, YUM big business but move off shore and build up in place like China just like a worker going over seas all earning money but doesn't do much for the home country

I disaggree,

Maccas, KFC, coca cola etc send send billions of dollars in franchise fees back to the USA shareholders,

Apple is generating millions of profit that will go back to US shareholders, Apple is also distributing Millions of dollars back to USA Content producers (Music, movies, tv shows) through Itunes,

Companies like Google, Facebook, Microsoft etc are like giant vacuum cleaners sucking up pennys from all over the world and funnelling them back to the US.

Lots of other industries in , computer Gaming, finance, mining, retail, telecomunications, brewing, food, weapons, areospace, automotive, internet etc etc find their profits rolling back to USA shareholders

The US economy is very dynamic, Just becuase they outsource alot of the low profit margin activities does not mean the lions share profit are ending up back in the USA.

 

[Glen48]

Ok that explains why 46m yanks are out of work, food stamps needs are increasing.
As long as you are a share holder is one of the above it' s ok but the average man on the street is not going to get the flow on, of course there will always be USA but the glory days are gone were some one got a job for life in a steel mill or on the production line at GM.
Depends on what you are looking for to invest there or just interested in their economics.

Some of the bigger companies could move of shore if the IRS start hounding them to prop up the country.

 

[Tysonboss1]

1, Ok that explains why 46m yanks are out of work, food stamps needs are increasing.

2, As long as you are a share holder is one of the above it' s ok but the average man on the street is not going to get the flow on,

3, of course there will always be USA but the glory days are gone were some one got a job for life in a steel mill or on the production line at GM.


4, Some of the bigger companies could move of shore if the IRS start hounding them to prop up the country.

1, The unemplyment rate is 8.3%, thats not overly bad, It's cyclical. It's a far cry from 25% during the great depression, And if your a glass half full type of guy you can look at it as over 90% emplyment.

2, offcourse there will be flow on, the shareholders and employees of those companies need to be housed, fed, cars serviced, served in shops and restruants, they need their lawns mowed, hair cut, planes and trains piloted and crewed, highways built and repaired, they need medical treatment, adive from accountants lawyers, fitness instructors, kids schooled, fire men, police etc etc,

3, their will always be steel mills and factories in the USA, But yes alot of the low porfit work that no one want to do will be offshored,

4, There is far more to it than that, and the american tax system is quite low rate compared to others,

 

[Wysiwyg]

You sum things up so nicely TB1.

Less than a quarter full glass view is the eternal pessimist. This could indicate a little more downside or the bottom is well and truly in.

 

[Glen48]

The real un-employment rate is about 25% in some states same as 1930's, rent a new car for $300 PM, buy a new lounge suite at 0% nothing to pay for 7 yrs.
$1.7 T in student loans to be repaid or join the services and get the loan killed..
Yep sounds like it well under way to recover.

 

[Glen48]

oo and vehicle manufactures have enough stock waiting to sell for the next 3 months

 

[wayneL]

GFC needed to happen. That's why I was a bear for so long leading up to it - now I can be a bull again.

It is arguable that ALL that needed to happen HAS yet happened. I don't know, but I think the can has been kicked down the road far enough for the US to have some good years... not like before, but good enough.

The joker in the pack remains Europe and I reserve the right to change my mind at a moments notice - I will keep my bear costume handy.

</randommusings>

 

[Tysonboss1]

oo and vehicle manufactures have enough stock waiting to sell for the next 3 months

better than the 18 months in 2008,

the usa automotive industry is an area i am bullish on, there is alot of pent up demand there.