The Deliberate Drive Toward Depression

[truehawk]

I can't think that the Republican economists are unaware of the ultimate result of the destruction of the American wage structure, Ie Wage Compression.

They know that Consumer Spending has only been able to grow because of record increases in consumer debt.

As more people loose their jobs to outsourcing, more and more of those people will not be able to meet their debt payments, or contribute to consumer spending. Their assets will be absorbed by the bank. I don't think the banks will fail this time because with increased layoffs the banks will get government bailouts (transfer of tax dollars is okay in their book, as long as it narrowly benifits the rich), remember the savings and loan "bailout" and how David Stockman became a millionaire?.

Anyway if the mean American wage continues to drop, when their credit is tapped out, a drop in consumer spending is enivitable.
The last time wages were this low as a portion of company expenses and consumer debt was this high, a depression happened.


A depression in the US brough FDR to power.
A depression in Germany brought Hitler to power.

Consider who owns the media now, what do you think their plan is?

[Vincardog]

1. Nailed it

[shakerbaker]

2. Exactly..that being said 2008

might be moot. They could amend the constitution to keep him or other neocons in there indefinately.

This was a master plan they've obviously planned very well. They got control of all branches of our government, judiciary and media. They're used it to take the 2004 election and America. Short of a Revolution I don't know what can be done?

Is America up to a Revolution? i don't know since I think a large amount of selfishness, ignorance and complacientcy got us where we are.

[knowbody0]

4. until we all accept the responsibility of our apathy

led us to this point, we are powerless.
i remember the hippies who became yuppies. reagenomics, greed, kids in day care 10 hours a day for the big houses and fancy cars. you bet, we failed.
we gather now without a leader, in chaos and depression, waiting for the right time.

[knowbody0]

3. a chicken in every pot!

only yes people will find employment in the new era.

[sandnsea]

5. 60%+ corporate profit, from overseas

It occurs to me multi-national corporations DON'T CARE. The slide of the dollar is good for corporations because they sell more overseas than they do in the US. When they convert their sales to US Dollars, they get an automatic profit. A little hidden bonus they did nothing to earn. Now those profits in the form of dividends and capital gains are being taxed at a lower rate, they'll be tax free if Bush gets his way. The US is 5% of the world population. Sell to the top 25% of the world even, they're probably still leaps and bounds ahead then having just a US based business. I think they've solved the problem of over-consumption; make sure the only people who can consume are the wealthy and let the rest of the world dissolve into poverty and powerlessness.

[serryjw]

6. Try this on for size.......

The most important statement of the article:"The only alternative right now is to shrink our economies." OUR future does not look pleasant....The boomers will retire and need more healthcare, the world is curently starving.....

Report from _2003_ from THE ASSOCIATION FOR THE STUDY OF PEAK OIL&GAS 2nd
> International Workshop On Oil Depletion in Paris - that Peak Oil may
> already by here...
> http://www.peakoil.net/iwood2003/MatSim.html

[truehawk]

7. DELIBERATE DEPENDANCE ON OIL

If Carter had won, and Alternative Energy Development had continued to recieve the R&D capitol it needed, we would not be dependent on oil NOW.

I was there. Sometime when I have time I will get all the links together and write about it.

[shakerbaker]

8. How sad that Cars

are the death of America.

[serryjw]

11. Thats why he lost

the oil barons have been working on this for 40 years

[mistertrickster]

9. Good point--and a lot of that borrowing came from equity in people's over-

appreciated houses. What happens to all the re-financing when interest rates go up, up and up?

What happens to the spending then?

Get the picture? Not pretty . . .

[serryjw]

10. The problem was that Americans bought into the refi Bushit

and instead of doing it at a fixed rates thay all got greedy and refied at variables. MOST of Americans are on fixed incomes and when these interests rates go up, Americans will either lose their homes or will be very strapped for cash.

[grace0418]

12. That idea has been knocking around in my head

for awhile now. You articulated it better than I could. I'm starting to get the feeling that Hitler is going to look like a pussycat compared to these jokers. I'm filled with dread over the future.

[truehawk]

13. Better take their hand off before they can tighten their grip