Recession,does history repeat again
A short story about this terrible recession .29 total reviews
Comment from hvysmker
I may be wrong, Ine, but I think that, in Europe, there are two choices in economics. Most of Europe seems to emulate Britain. The rest lean toward France. Britain is heavily influenced by economic tactics in the US.
From my perspective, things on that front seemed to be going well around the year 2000. The US was trying to decide what to do with a 500 billion access in our treasury.
Now, for a little background. Before the early seventies, the US was on a gold standard. Every dollar we printed was backed by gold, itself held at an unrealistically low value by our treasury. Because of the cost of the Vietnamese war, then President Nixon decided to float our dollar on the world market. What that did was immediately devalue the dollar.
I was in the army, stationed in Germany, at the time. What it meant to me, personally, was that my pay was affectively cut by about a fourth. Whereas the night before the practical rate on the German economy was four marks for a dollar, overnight it went to three.
Since I was renting an apartment downtown, my rent went up by that amount, as did my spending at local businesses. A few businesses even refuse to honor dollars. They were afraid of it going down even more.
On the homefront, in the US, it helped our economy. People were forced to buy local products rather than imported. Businesses expanded. Not only because of more business within the country, but also because more Europeans were buying their products. Because of increased costs in Europe, more vacationers were staying within the US.
That also meant more Europeans buying stock in US companies, even building their own factories here, such as auto factories. It was much cheaper than shipping their products here.
A strong economy here also encouraged building new housing. President Clinton was all in favor of it, as well as in tearing down oversight agencies. He encouraged banks to finance that housing, wanting a home for every young couple in the country. They began lending to almost everyone that asked, especially young couples. The idea was that the economy would stay strong. That though those people couldn't afford a home at the moment, their pay would be bound to go up over the years. Fixed rates became less common, going over to variable rates, based on the economy.
Fine, as long as the economy stayed strong. But it didn't.
Back to that 500 billion dollar surplus in our treasury. It was actually the result of those "fiat" dollars coming home to roost after the war. In my opinion, even at the time, it should have been quietly destroyed. Of course, try to tell that to politicians. Instead, they all wanted as much of it as they could cadge by any means.
Back to the beginning of this rant. It's the year 2000. Since the eighties, George Bush had been advocating a strong military. The fall of the Soviet Union didn't dissuade him one iota. He was looking for an excuse.
The 9/11 attacks gave him that excuse. Upgrading the response from a police issue, he made it a military one. Going from a stated belief in smaller government, he increased government size enormously, as well as spending to fund those increases.
Al Qaeda, at the time a group of officials from Bin Laden's training camps sitting around an office, was turned into an international terrorist organization. It didn't even have a name until our government gave it one. It did train terrorists, but for use in their own countries. In that respect, it was international. If, say, Indonesian rebels wanted a few men trained, they'd send them to Bin Laden's camps. Afterward, they'd go back to terrorize Indonesia.
Bush's government gave them a name and a huge mission, to cover the world. As far as I know, Bin Laden may have had nothing at all to do with those attacks. His only admission, after four or five direct denials, is in one tape that is widely thought to be a CIA plant.
The facts are that those 9/11 terrorists had no need to use Bin Laden. Those attacks didn't need a tactical wizard to plan them. Nor did it require a vast amount of money. The leader, Ata, had a master's degree, and they might have had enough money among them.
In any case, after invading both Iraq and Afghanistan, the US went from a large surplus to a trillion dollars in debt. Like in Vietnam, they printed all the money they needed, with little or no oversight.
Meanwhile, Bush, who had a MBA degree, for Christ's sake, paid little attention to the economy while spending money like seawater. He also gave tax breaks to his wealthy friends, which didn't help any, while retaining the building boom. It went out of control, along with no attempts for control.
Like you, I realized the issue in the eighties. What clued me in was a cheap hotel I'd stayed in for awhile when I first moved to Waikiki. They were cheaply built and furnished. One day, while driving by, I noticed as sign that the rooms were being sold as condominiums ... at a price of $100,000 EACH. I couldn't believe it. It was ridiculous. I knew it couldn't last, and wasn't surprised when the bubble did burst.
The problem was that, largely because of those wars and the fiat money to conduct them, the US and world economy suffered. Those young home buyers didn't get their raises or promotions. They were forced to renege on their obligations. The homes became worth less than than their costs. "Boom".
Since the banks couldn't collect, they went to the government for relief, and got it. The cost of those "bailouts" was passed on to the very people who couldn't afford the houses. Of course, they couldn't pay it.
Anyway, long winded, but that's where we all stand now.
Charlie
reply by the author on 11-Aug-2011
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I may be wrong, Ine, but I think that, in Europe, there are two choices in economics. Most of Europe seems to emulate Britain. The rest lean toward France. Britain is heavily influenced by economic tactics in the US.
From my perspective, things on that front seemed to be going well around the year 2000. The US was trying to decide what to do with a 500 billion access in our treasury.
Now, for a little background. Before the early seventies, the US was on a gold standard. Every dollar we printed was backed by gold, itself held at an unrealistically low value by our treasury. Because of the cost of the Vietnamese war, then President Nixon decided to float our dollar on the world market. What that did was immediately devalue the dollar.
I was in the army, stationed in Germany, at the time. What it meant to me, personally, was that my pay was affectively cut by about a fourth. Whereas the night before the practical rate on the German economy was four marks for a dollar, overnight it went to three.
Since I was renting an apartment downtown, my rent went up by that amount, as did my spending at local businesses. A few businesses even refuse to honor dollars. They were afraid of it going down even more.
On the homefront, in the US, it helped our economy. People were forced to buy local products rather than imported. Businesses expanded. Not only because of more business within the country, but also because more Europeans were buying their products. Because of increased costs in Europe, more vacationers were staying within the US.
That also meant more Europeans buying stock in US companies, even building their own factories here, such as auto factories. It was much cheaper than shipping their products here.
A strong economy here also encouraged building new housing. President Clinton was all in favor of it, as well as in tearing down oversight agencies. He encouraged banks to finance that housing, wanting a home for every young couple in the country. They began lending to almost everyone that asked, especially young couples. The idea was that the economy would stay strong. That though those people couldn't afford a home at the moment, their pay would be bound to go up over the years. Fixed rates became less common, going over to variable rates, based on the economy.
Fine, as long as the economy stayed strong. But it didn't.
Back to that 500 billion dollar surplus in our treasury. It was actually the result of those "fiat" dollars coming home to roost after the war. In my opinion, even at the time, it should have been quietly destroyed. Of course, try to tell that to politicians. Instead, they all wanted as much of it as they could cadge by any means.
Back to the beginning of this rant. It's the year 2000. Since the eighties, George Bush had been advocating a strong military. The fall of the Soviet Union didn't dissuade him one iota. He was looking for an excuse.
The 9/11 attacks gave him that excuse. Upgrading the response from a police issue, he made it a military one. Going from a stated belief in smaller government, he increased government size enormously, as well as spending to fund those increases.
Al Qaeda, at the time a group of officials from Bin Laden's training camps sitting around an office, was turned into an international terrorist organization. It didn't even have a name until our government gave it one. It did train terrorists, but for use in their own countries. In that respect, it was international. If, say, Indonesian rebels wanted a few men trained, they'd send them to Bin Laden's camps. Afterward, they'd go back to terrorize Indonesia.
Bush's government gave them a name and a huge mission, to cover the world. As far as I know, Bin Laden may have had nothing at all to do with those attacks. His only admission, after four or five direct denials, is in one tape that is widely thought to be a CIA plant.
The facts are that those 9/11 terrorists had no need to use Bin Laden. Those attacks didn't need a tactical wizard to plan them. Nor did it require a vast amount of money. The leader, Ata, had a master's degree, and they might have had enough money among them.
In any case, after invading both Iraq and Afghanistan, the US went from a large surplus to a trillion dollars in debt. Like in Vietnam, they printed all the money they needed, with little or no oversight.
Meanwhile, Bush, who had a MBA degree, for Christ's sake, paid little attention to the economy while spending money like seawater. He also gave tax breaks to his wealthy friends, which didn't help any, while retaining the building boom. It went out of control, along with no attempts for control.
Like you, I realized the issue in the eighties. What clued me in was a cheap hotel I'd stayed in for awhile when I first moved to Waikiki. They were cheaply built and furnished. One day, while driving by, I noticed as sign that the rooms were being sold as condominiums ... at a price of $100,000 EACH. I couldn't believe it. It was ridiculous. I knew it couldn't last, and wasn't surprised when the bubble did burst.
The problem was that, largely because of those wars and the fiat money to conduct them, the US and world economy suffered. Those young home buyers didn't get their raises or promotions. They were forced to renege on their obligations. The homes became worth less than than their costs. "Boom".
Since the banks couldn't collect, they went to the government for relief, and got it. The cost of those "bailouts" was passed on to the very people who couldn't afford the houses. Of course, they couldn't pay it.
Anyway, long winded, but that's where we all stand now.
Charlie
Comment Written 11-Aug-2011
reply by the author on 11-Aug-2011
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Thanks foryour review against your wishes lol;Europe at the moment in total is in the same mess as U.S.
No countries to lean on-they are all going down.
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I know. I "Skype" daily with a friend in Serbia.
Charlie
Comment from Queenise
Like this thought provoking and very poignant writing that really gets to the heart of the matter and it is a deep matter to be sure. No one has the answers as you stated so beautifully. God does. Our hope cannot be in man, who can't even direct his own steps. Great imagery,flow,pace, and the art is good. Blessings and best wishes. Queenise
reply by the author on 10-Aug-2011
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Like this thought provoking and very poignant writing that really gets to the heart of the matter and it is a deep matter to be sure. No one has the answers as you stated so beautifully. God does. Our hope cannot be in man, who can't even direct his own steps. Great imagery,flow,pace, and the art is good. Blessings and best wishes. Queenise
Comment Written 10-Aug-2011
reply by the author on 10-Aug-2011
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Thanks for your kind review.
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You're welcome. Queenise
Comment from Jean Lutz
It sounds to me like you have some very special spiritual gifts. I think you should explore them in the Bible and exercise them. I've had an interesting few days -- spent the weekend with some young professionals (I am a childcare provider)who were busy with cell phones and laptops checking stock. Spent the morning in Walmart not so patiently waiting for service for a dead battery and listened to others who have worked all there lives and wondering if they will not get their Social Security. This just may be your time to sound the alarm. I join with you in prayer.
reply by the author on 09-Aug-2011
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It sounds to me like you have some very special spiritual gifts. I think you should explore them in the Bible and exercise them. I've had an interesting few days -- spent the weekend with some young professionals (I am a childcare provider)who were busy with cell phones and laptops checking stock. Spent the morning in Walmart not so patiently waiting for service for a dead battery and listened to others who have worked all there lives and wondering if they will not get their Social Security. This just may be your time to sound the alarm. I join with you in prayer.
Comment Written 08-Aug-2011
reply by the author on 09-Aug-2011
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Thanks for your review
Comment from TammyGail
Well said sister ..... This is an issue that needs correction
In a bad way and fast..... The prob is we didn't create this overnight
So it will never be fixed overnight..... I believe if we can ever
Get back to mom and pop and building things in the country to which they belong
We can get back on tract ..... At the moment China owns are ass....
And it will only get worse.....
Great work here.......
reply by the author on 08-Aug-2011
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Well said sister ..... This is an issue that needs correction
In a bad way and fast..... The prob is we didn't create this overnight
So it will never be fixed overnight..... I believe if we can ever
Get back to mom and pop and building things in the country to which they belong
We can get back on tract ..... At the moment China owns are ass....
And it will only get worse.....
Great work here.......
Comment Written 08-Aug-2011
reply by the author on 08-Aug-2011
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Thanks for your review
Comment from Cassie Needham
So true. My own thoughts exactly. My husband watches the news and worries too; but we have faith that the Lord will help. Nice use of words to get to the point quickly, flows well. Very well organized, easy to read and understand. Pretty picture, goes with the poem.
reply by the author on 08-Aug-2011
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So true. My own thoughts exactly. My husband watches the news and worries too; but we have faith that the Lord will help. Nice use of words to get to the point quickly, flows well. Very well organized, easy to read and understand. Pretty picture, goes with the poem.
Comment Written 08-Aug-2011
reply by the author on 08-Aug-2011
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thanks for your review.Thanks so much-is my first ever exceptional-am only a newbie.
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Your welcome! You earned it.
Comment from gazzagodbod
such a worrying time my friend and you captured it perfectly i think we are naturally optomistic so ignore the signs till its to late thanks my friend gazzax
reply by the author on 07-Aug-2011
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such a worrying time my friend and you captured it perfectly i think we are naturally optomistic so ignore the signs till its to late thanks my friend gazzax
Comment Written 07-Aug-2011
reply by the author on 07-Aug-2011
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Thanks for review.
Comment from Cooper Watt
I certainly can't comment on the politics and socioeconomic wherewithal of the Dutch people, but I can say your feelings are not unique the world over. It is frightening what's going on. One of the deadliest sins is at play here: Greed. It's this sin that has put the world in this precarious economic turmoil. I think the entire planet needs to get on one currency.
Anyway, I felt the heart behind your words, and look forward to reading more.
Sincerely,
Coop.
reply by the author on 07-Aug-2011
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I certainly can't comment on the politics and socioeconomic wherewithal of the Dutch people, but I can say your feelings are not unique the world over. It is frightening what's going on. One of the deadliest sins is at play here: Greed. It's this sin that has put the world in this precarious economic turmoil. I think the entire planet needs to get on one currency.
Anyway, I felt the heart behind your words, and look forward to reading more.
Sincerely,
Coop.
Comment Written 07-Aug-2011
reply by the author on 07-Aug-2011
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Thanks for your review.
Comment from writerwish
It certainly looks like this economy is going down fast. Even gold went down yesterday by $7.00 per once. I certainly can't even figure out to do about it. Only God can fix this one. Reminds me of Dan2:44. then we won't have to worry.
reply by the author on 07-Aug-2011
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It certainly looks like this economy is going down fast. Even gold went down yesterday by $7.00 per once. I certainly can't even figure out to do about it. Only God can fix this one. Reminds me of Dan2:44. then we won't have to worry.
Comment Written 07-Aug-2011
reply by the author on 07-Aug-2011
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Thanks for your review.
Comment from axelbeariter
I'm with you on this one. Praying is about all we can do, except when election time rolled around, look more closely at what the candidates say. Watch their lips. If they quiver while the promises of a duckling in every microwave roll off their tongues, vote for somebody else. Maybe, just write in your husband's name.
reply by the author on 07-Aug-2011
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I'm with you on this one. Praying is about all we can do, except when election time rolled around, look more closely at what the candidates say. Watch their lips. If they quiver while the promises of a duckling in every microwave roll off their tongues, vote for somebody else. Maybe, just write in your husband's name.
Comment Written 07-Aug-2011
reply by the author on 07-Aug-2011
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Thanks for your review.
Comment from barfy
Hi bud...
I was gonna say... Always amazed, what is it that drives us to pen our thoughts with such passion and vibe? But... in this case... it was the TV... The News... Well... That which is behind the News...
A vivid and clever work. Technically fine.
Thank you...
reply by the author on 07-Aug-2011
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Hi bud...
I was gonna say... Always amazed, what is it that drives us to pen our thoughts with such passion and vibe? But... in this case... it was the TV... The News... Well... That which is behind the News...
A vivid and clever work. Technically fine.
Thank you...
Comment Written 07-Aug-2011
reply by the author on 07-Aug-2011
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Thanks for your review.
