IT'S "NOT" A RECESSION ?

IT’S “NOT” A RECESSION ?

OK, all right all ready, it’s not a recession. At least that’s what the politicians want me to believe. Forget about what you see and hear, things are fine. People out of work?, They are probably just lazy. The price of gasoline over four dollars a gallon, its just supply and demand at work. Your house has lost 50% of its value…that’s what is known as a correction.

Things are fine, its just a cycle, most areas of the country are fine, nothing to worry about…bullshit.. People are hurting, people are losing their jobs, their homes, and their ability to borrow money. We are in a recession and it wouldn’t take much to have us heading towards a depression.

Come on, open up your eyes. Real estate is in the shitter, mortgage defaults are at a record high, and many workers have been let go, or had their hours and income severely cut back. In the meantime, food prices and other essential commodities continue to rise in price due to inflation and strong international demand. Yes, we are part of a world market, and many developing countries are booming, and their insatiable demand is driving up the price of everything from steel to oil.

We had better own up to the current economic situation and start working our way out of it, but quick. Congress passed an economic stimulus package, giving taxpayers back a few hundred dollars of the own money, in hopes that everyone would go out and buy something, thereby stimulating the economy. Good thought, but the few hundred bucks was like a fart in a wind storm.

We need to cut the price of fuel, which is driving up the cost of most other commodities in the form of higher trucking and transportation costs, not to mention punishing the average Joe at the gas station, a few times a week. I see people at the gas station putting in $5 and $10 worth of fuel, when it takes $60 to $100 to fill up most cars and trucks. Ten dollars worth is about enough to drive back home and return to the gas station again. How, about taking off all the road use taxes imposed on each gallon of gasoline for starters. (wow….don’t I know anything….how will the government recover those lost revenues….how about tightening your darn belt and making due with what you’ve got, like the rest of us)

We need to place tax incentives on the buying and selling of a primary residences( notice, I said primary residence. your home…not an investment property). Once we move thru the current inventory of real estate on the market we can start building and moving forward again. Also, we need to reduce or curtail foreign aid for a while. Hey, a lot of Americans could use some “foreign aide” right now. Let’s start our giving, a little closer to home, until we get things back on track.

I understand that the economy may move in 7 year cycles, but people need to eat everyday, and mortgages need to be paid every month. Very few people have the financial wherewithal to withstand an economic cycle. Most people don’t want a handout or anything for free. People pay taxes year in and year out. Sales tax, income tax, inheritance tax, alternative minimum tax, fuel tax, and real estate tax just to name a few. How about the taxing authorities escrow a portion of these funds (instead of spending very dime, plus some), and help out those in need during these “down cycles”.

I realize tax breaks and programs cost money and are contrary to “pure market driven economics”, however I think it’s ignoring reality to insist on this Pure interpretation of economics, when we vary so widely on other financial and economic issues.

Ok, this is a great country and we will work thru this “correction”. Supply and demand will bring pricing back into line, and our work force will once again get back to a high productivity rate. But in the mean time, lets all try to acknowledge the hardships that these times inflict on the American people.