Fed can't stop recession

[Javaman]

Here we go folks, it's official.

Fed can't stop recession
Even if the central bank starts to cut rates aggressively, many of the risks for the U.S. economy are beyond its reach.
By Chris Isidore, CNNMoney.com senior writer
September 13 2007: 1:35 PM EDT


NEW YORK (CNNMoney.com) -- Problems in housing, the financial markets and the first job decline in four years have made a Federal Reserve rate cut next week all but certain. But it has also raised talk about a recession -- and whether the Fed is able to prevent one.

While most economists still don't believe the nation will fall into a recession, there is general agreement that the economy now faces a greater risk than there was only a month or two ago.


It's not clear how much Federal Reserve Chairman Ben Bernanke will be able to do if the U.S. economy does start to slide towards recession.

Problems in the financial credit markets are only part of the risk faced by the U.S. economy.

http://money.cnn.com/2007/09/13/news/economy/recession_risks/index.htm?postversion=2007091313

[hfojvt]

1. I don't think it ever could

All it controls is the brakes. It can press down on them by raising interest rates, or ease up on them by lowering interest rates, but things like work, consumption, innovation, investment, and agricultural production are driving the train. I think they should have seen this coming though. For one thing, simply because of the huge increases in gas prices.

[hootinholler]

2. I think it's quite likely they did...

Shortly before Greenspan retired.

-Hoot

[partylessinOhio]

3. What about the "D" word?

Will there be a depression? With so many out of jobs, out of their homes and skyrocketing prices, taxes, utilities and fuel, how could this only be a recession?

[coco77]

4. It is a depression..

they just won't say it yet..

[Javaman]

5. We all will be on the soup line before they admit that. nt

[defendandprotect]

6. Republicans work to create recessions . . . . if not depressions.

[madrchsod]

7. it`s really fucking simple--end the war now

...100 billion dollars for the next 10-12 months if applied directly to the economy we would`t be in a recession...it`s in the first chapter of any economics 101 book.

[Javaman]

8. well, you know our dear preznut* has an MBA and all...

bwahahahaha!!! sorry couldn't hold it in. LOL

[blondeatlast]

12. It's the freaking MBA administration--never actually worked in the field,

never actually experienced war, but we must mocromanage the government just like we would if we were sitting on the 56th floor--where's my "Who Moved MY Cheese?" book???

and of course, if it fails, it's all the workers fault for not transitioning to our way of thinking... :mad:

[wildbilln864]

9. Who are these........

fed fuckers anyway and why did our congress give them the right to print fiat money out of thin air?
linky :grr:

[in_cog_ni_to]

10. Geez. This is going to be bad! And to think my husband derided me the other day because I insisted

on moving our son's college money out of a Mutual Fund and into something safer. We moved the money and the very next day the market went up 200 points.:( BUT...look at what's coming.:scared: I'm glad we moved the money. Maybe he'll have a little left by the time these assholes are out of office.

[blondeatlast]

11. we're redoing our mutual fund holdings and bought our new home

with a big down (the equity of our old home and then some) and have a fixed rate mortgage.

We could have gotten a McMansion (tehy are all around us)--but all thos McMansions are going to be sitting empty and forlorn in a few months.

I, for one, think you were very smart.