Stimme Posted January 21, 2008 Share Posted January 21, 2008 Okay I'm just wondering if anyone could explain the meaning on the word in simplest terms because I do not know much about the American (or world) economy. My understanding of it is knowing its something bad haha. And also what I can't figure out is how will the government handing out $800/1600 checks to everyone in America will help the economy..just doesn't make sense to me. Well any help is appreciated so thanks. Quote Link to comment Share on other sites More sharing options...
lord_casek Posted January 21, 2008 Share Posted January 21, 2008 Okay I'm just wondering if anyone could explain the meaning on the word in simplest terms because I do not know much about the American (or world) economy. My understanding of it is knowing its something bad haha. And also what I can't figure out is how will the government handing out $800/1600 checks to everyone in America will help the economy..just doesn't make sense to me. Well any help is appreciated so thanks. first, you need to know what fiat currency is. fi·at play_w("F0098800") (ft, -t, -ät, ft, -t)n.1. An arbitrary order or decree. 2. Authorization or sanction our currency is printed on worthless paper. backed by nothing. what's a recession? http://economics.about.com/cs/businesscycles/a/depressions.htm we're basically on a downward spiral to something worse than recession. it's called an economic crash. our whole economy is going to hell. as for bush handing out money to "make it better", it won't. he might as well just let it crash to we can start to heal...unfortunately, big govt is all about illusions. they've been trying to tell us (the mainstream media) for a couple of years that the economy here is fine and dandy...lies. all lies. anyway, there are some economics students and such on here that may be able to straighten you out more than i can on what is what in economics. Quote Link to comment Share on other sites More sharing options...
MayorMeanBeans Posted January 21, 2008 Share Posted January 21, 2008 haha casek you just terrified some kid in the most basic terms, a recession is when as time goes on, on average it gets harder to make ends meet. inflation (which is the idea that money becomes worth less over time- ie a dollar went a lot further back in the day) is often the trigger of many recessions. prices increase faster than salaries, thereby forcing people to make do with less, choose which product is more important etc, and sales in general fall, making it very hard to raise salaries to keep pace with prices when the boss isn't seeing any profits (hence the downward spiral). the rich usually get richer during recessions, because people often sell assets to help make ends meet. those who don't feel the pinch so much can afford to buy up property at vastly reduced rates that will definitely multiply in value many times over. this is the most fucked up about it (and bushes proposed tax cuts). as you see, he wants to push through reductions in house title transfer taxes (supposedly to help with the credit crunch), but it also makes it far easier for rich people to buy land for even cheaper. the 800 to 1600 dollar checks are to make the impression that these tax cuts are for everyone. when in reality, those who already have tons of money stand to make MUCH more than 800 to 1600 (real estate type figures). in all seriousness tax cuts/tax breaks/tax exemptions. during recessions are among the most blatant examples of the rich fucking over the poor in our country. Quote Link to comment Share on other sites More sharing options...
lord_casek Posted January 21, 2008 Share Posted January 21, 2008 haha casek you just terrified some kid i'm good at that. Quote Link to comment Share on other sites More sharing options...
Stimme Posted January 21, 2008 Author Share Posted January 21, 2008 hahaha Nah i've gotten use to casek's post since i've been on here...nothing against you casek and thanks for helping me out. It's just every time i turned on my television on or the radio in my car all I keep hearing recession, recession, depression, and I can't help but sit there and think what will this country become if this shit gets outta hand, which the media is doing a good job of making it sound like it is. Then I start pondering about what world the children of today are gonna grow up in, in 20 or 30 years from now. Cause I constantly hear about how good the 40's, 50's, 60's and so on were where i'm at and now it's just a town with abandoned steel mills and empty lots. Well anyways imma end this rant haha. Thanks for the help, guess i'll do alittle reading about this stuff since i don't got nothing going on today. Quote Link to comment Share on other sites More sharing options...
Some1 Posted January 21, 2008 Share Posted January 21, 2008 no you're not hearing recession recession recession youre hearing "possible recession, eh the economy isnt doing great but we aren't in a recession...yet, recesssion?! what recession the economy is just fine!" Quote Link to comment Share on other sites More sharing options...
lord_casek Posted January 21, 2008 Share Posted January 21, 2008 just to be informed is actually worth something stimme. besides, you can bore your friends with talk of economic collapse and the current value of gold. great icebreakers, too. j/k Quote Link to comment Share on other sites More sharing options...
MayorMeanBeans Posted January 21, 2008 Share Posted January 21, 2008 ^i'm lucky enough to have a group of friends where talking politics is an icebreaker, and an enthralling conversation. its a shame that for the vast majority of our country its a bore. Quote Link to comment Share on other sites More sharing options...
lord_casek Posted January 22, 2008 Share Posted January 22, 2008 ^i'm lucky enough to have a group of friends where talking politics is an icebreaker, and an enthralling conversation. its a shame that for the vast majority of our country its a bore. i have to come here to get my fix. my friends think it's boring and stupid to talk about current issues. Quote Link to comment Share on other sites More sharing options...
Juan Fuentes Posted January 22, 2008 Share Posted January 22, 2008 they think having a gossipy life learn how to lie and play it out. be a hypocrite to not lose relationships. talking behind people's back and act cool... ...is being mature. people is waking up though. it used to be worst before. Quote Link to comment Share on other sites More sharing options...
ILOTSMYBRAIN Posted January 22, 2008 Share Posted January 22, 2008 i have to come here to get my fix. my friends think it's boring and stupid to talk about current issues. Same here, and whenever someone does decide to final voice there opinion or anything on any issue that happens to be going on at the moment. Weither it is the war in Iraq, the economy, 9/11, the upcoming elections people just spit out the same recycled garbage that every other person spits out because they hear the same shit from the same people on TV. Oh yea, and staying on topic, we're fucked. Quote Link to comment Share on other sites More sharing options...
the.crooked Posted January 22, 2008 Share Posted January 22, 2008 I get drunk and rant to my friends about the internet, and the stock market. Money is fucked. we all fucked. Quote Link to comment Share on other sites More sharing options...
Poesia [ ] T Posted January 22, 2008 Share Posted January 22, 2008 7 Ways To Survive and Thrive in an Upcoming Recession Based on the thoughts of Ben Stein and Myself 1. Keep investing in the market: History has proven that investing during recessions has paid off well. In fact it is one of the best times to invest for the long term. Keeping a little more that normal in cash and adding a little gold to the portfolio will help you sleep a little better as well. The reason the market pays more than other forms of investment is because of these fluctuations 2. Don't sell your home right now: Again, history tells us that a peak in housing leads to a fall which eventually leads to a another peak higher than the first. Our problem right now is not knowing how far it could fall. Don't even think about flipping your house right now. Concentrate of fixing up your present home so when the market turns your house is an easy sell. Housing cycles tend to be long so we could be looking at a bad market for 5 years. 3. Work extra hard at your job: There WILL be layoffs. Make sure you aren't one of them. Take your job seriously or you may not have it. I like to be the first one in and the last one to leave. Family is important but if you don't give your all at work you'll get to spend all day with them 4. Buy a little Energy Invest a small portion of your portfolio in something like an energy index fund such as XLE. Many think high energy cost is the major cause of this recession. You might as well hedge it. 5. Keep an eye on your future Don't be affected by day to day stock prices. Use the lower prices to get in cheaper. If it is lower next investment time, buy more. Selling because the stock price is too high or too low is for the foolish. You only buy or sell based on fundamentals when you are investing long term. 6. Don't Panic Post WWII recessions have lasted an average of 15 months from peak to peak. Yes this an average and every recession is different but don't let the media scare you. Things are not rosy but it's never as bad as everyone says. Calm, consistent investment during a dropping stock market always pays off. 7. Travel within the United States: Don't Even Think About Going to Europe If you want to pay $25 for a cup of coffee in France then go ahead, otherwise keep your vacation to somewhere that is on the dollar. 1 Quote Link to comment Share on other sites More sharing options...
boner9000 Posted January 22, 2008 Share Posted January 22, 2008 Pretty good advice right there. I think now would be a good time to buy stock in Citigroup or Merrill Lynch, last I checked both stock prices are half of what they were a year ago. I don't really see companies of this size collapsing. Another definition of recession is that GDP (the value of all goods, services, equipment, labor, eg EVERYTHING) is shrinking. If you didn't know, this is currently being fueled by the sub-prime crash (falling house prices) as well as high oil prices and the weak value of the dollar. Quote Link to comment Share on other sites More sharing options...
angelofdeath Posted January 22, 2008 Share Posted January 22, 2008 there are two things you need to know about money. work and save. i believe that one day the FED's chickens will be coming home to roost and therefore i have been investing in tangibles, gold, silver, firearms, and am saving for land. Quote Link to comment Share on other sites More sharing options...
MayorMeanBeans Posted January 22, 2008 Share Posted January 22, 2008 ^great advice poesia, i wish i had a lot of cash to invest in real estate/stocks right now. casek as far as having conversations with people outside of e-society, my worldview is far less bleak than yours (as far as ive ascertained from crossfire). generally, people don't want to concern themselves with conversations of, "how am i irrevocably fucked today?" you know? my conversations don't typically adopt that tone (though recession talk often leads to that opinion). instead, there more along the lines of, what/why did putin do that for etc. you know. i consider myself really lucky though to have friends who are willing to delve into that shit. ive only taken undergrad economic classes so im by no means an expert, but are there any tell tale signs when a recession bottoms out, and the economy will pick up again? also, this emergency relief plan (flooding 145 billion or whatever into the market), whats to stop inflation from exploding following such an influx? thanks to anyone able to answer. Quote Link to comment Share on other sites More sharing options...
MayorMeanBeans Posted January 22, 2008 Share Posted January 22, 2008 ^angel of death you got yourself a fortified compound (half kidding)? Quote Link to comment Share on other sites More sharing options...
angelofdeath Posted January 22, 2008 Share Posted January 22, 2008 inflation will be exploding with this relief plans they are talking about. the fed just cut rates again, which is code for 'dood we just printed a shit load of money....' all this crap is like fighting the laws of gravity. you might be able to post pone symptons of economic collapse of our paper money system, but things could get bad. i think the depression that is coming is gonna be way worse than the collapse of 1929 Quote Link to comment Share on other sites More sharing options...
lord_casek Posted January 22, 2008 Share Posted January 22, 2008 stock markets worldwide plunge http://biz.yahoo.com/ap/080121/world_markets.html Quote Link to comment Share on other sites More sharing options...
Guest shai_hulud Posted January 22, 2008 Share Posted January 22, 2008 Maybe if we STOPPED FUCKING STARTING WARS ALL OVER THE PLACE, we might not be faced with a recession/depression/crash right now. Quote Link to comment Share on other sites More sharing options...
Guest shai_hulud Posted January 22, 2008 Share Posted January 22, 2008 On the upside, I could use 1600 bucks. Where do I sign up to get the loot? Quote Link to comment Share on other sites More sharing options...
angelofdeath Posted January 22, 2008 Share Posted January 22, 2008 i hear you, i'll take the money. any money i can get back that they stole from me... i'll take it. however it is sort of funny... giving back tax money, when we are in trillions and trillions of dollars in debt, all the while increasing spending on EVERYTHING. then they are inflating money. borrowing 2 billion dollars a day from china. its f'ing rediculous. giving back tax money would make awesome sense if departments were abolished, welfare, offensive military spending was ended... but who are they to make any sense. Quote Link to comment Share on other sites More sharing options...
WORDISM45 Posted January 22, 2008 Share Posted January 22, 2008 what sucks is i dropped 6 grand on the stockmarket about a year ago and although i've got a good 15% back in dividends and one off payments they've dived by about a grand in the last month Quote Link to comment Share on other sites More sharing options...
John Galt Posted January 23, 2008 Share Posted January 23, 2008 My investments have dropped 10% in the past three weeks. It's a good thing I'm taking the long-term outlook on this, because part of me just wants to pull my money out right now. That being said, I don't buy into all this "we're fucked" doomsday talk. I think this stimulus package is just a quick ticket for runaway inflation, but I'm confident that the economic cycle will come back around and swing upward. If I had the money (and the time) I would be getting in on companies like Citigroup as mentioned above. Quote Link to comment Share on other sites More sharing options...
the.crooked Posted January 23, 2008 Share Posted January 23, 2008 I think this is going to redefine monetary systems around the world. just my guess. Quote Link to comment Share on other sites More sharing options...
Stimme Posted January 24, 2008 Author Share Posted January 24, 2008 Say If one wanted to do some investing and create a portfolio, could I just go to a financial advisor and get one started? I have some savings and I've always wanted to get some stock but have been to scared. Figure I might as well go for it. Quote Link to comment Share on other sites More sharing options...
John Galt Posted January 24, 2008 Share Posted January 24, 2008 Say If one wanted to do some investing and create a portfolio, could I just go to a financial advisor and get one started? I have some savings and I've always wanted to get some stock but have been to scared. Figure I might as well go for it. Yeah, that's about the size of it. If you want it even easier than that, websites like Vanguard will do it all over the internet. A lot of them have pretty high minimum buy-ins though, mine was $3000. Quote Link to comment Share on other sites More sharing options...
russell jones Posted January 24, 2008 Share Posted January 24, 2008 there are two things you need to know about money. work and save. i believe that one day the FED's chickens will be coming home to roost and therefore i have been investing in tangibles, gold, silver, firearms, and am saving for land. Silver may be an even better investment than gold. It actually gets used for many things other than jewelry, and may be scarce too. I have to agree with you AOD, precious metals are guaranteed winners. Quote Link to comment Share on other sites More sharing options...
Dawood Posted January 24, 2008 Share Posted January 24, 2008 I've always wanted to buy gold. AOD, what's a good price to get gold right now? I know it's always fluctuating, but I've been dragging my feet on buying because I don't know if I'm getting ripped or not. You have any good links to reputable sites? Quote Link to comment Share on other sites More sharing options...
lord_casek Posted January 24, 2008 Share Posted January 24, 2008 http://politifact.com/truth-o-meter/statements/256/ Quote Link to comment Share on other sites More sharing options...
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