Roman_Fiddler

Joblessness Drops? Hold the Applause

This will sound horribly negative, but I think it needs to be considered too:

Not to forget the bubble of 'useless' former consumers, and belying that, the bubble of an over-populated planet...


On Aug 07 11:58 AM conceptwizard wrote:

> While there is much talk of a recovery on the horizon, commentators
> are forgetting some crucial aspects of the financial crisis. The
> crisis is not simply composed of one bubble, the housing real estate
> bubble, which has already burst. The crisis has many bubbles, all
> of which dwarf the housing bubble burst of 2008. Indicators show
> that the next possible burst is the commercial real estate bubble.
> However, the main event on the horizon is the “bailout bubble” and
> the general world debt bubble, which will plunge the world into a
> Great Depression the likes of which have never before been seen.
>
>
> There is still an enormous oversupply of housing, which means that
> the direction of house prices will almost certainly continue to be
> downward.” Foreclosures are still rising in many states “such as
> Nevada, Georgia and Utah, and economists say rising unemployment
> may push foreclosures higher into next year.” Clearly, the housing
> crisis is still not at an end.
>
> In May, Bloomberg quoted Deutsche Bank CEO Josef Ackermann as saying,
> “It's either the beginning of the end or the end of the beginning.”
> Bloomberg further pointed out that, “A piece of the puzzle that must
> be calculated into any determination of the depth of our economic
> doldrums is the condition of commercial real estate -- the shopping
> malls, hotels, and office buildings that tend to go along with real-
> estate expansions.” Residential investment went down 28.9 % from
> 2006 to 2007, and at the same time, nonresidential investment grew
> 24.9%, thus, commercial real estate was “serving as a buffer against
> the declining housing market.”
>
> At the end of March of 2009, Bloomberg reported that, “The U.S. government
> and the Federal Reserve have spent, lent or committed $12.8 trillion,
> an amount that approaches the value of everything produced in the
> country last year.” This amount “works out to $42,105 for every man,
> woman and child in the U.S. and 14 times the $899.8 billion of currency
> in circulation. The nation’s gross domestic product was $14.2 trillion
> in 2008.
>
> However, this “bailout bubble” that Celente was referring to at the
> time was the $12.8 trillion reported by Bloomberg. As of July, estimates
> put this bubble at nearly double the previous estimate.
>
> This is the real bubble, the debt bubble. When it bursts, and it
> will burst, the world will enter into the Greatest Depression in
> world history.
>