BBC: US economic outlook 'worsening'

[marmar]

US economic outlook 'worsening'


Conditions in the US economy have worsened noticeably in the past six weeks, the Federal Reserve said in its closely-followed Beige Book report.

The central bank's regular snapshot of business activity across the US described "weaker" conditions and "softening" consumer spending.

The report also described the troubled housing market as "anaemic".

The IMF recently warned that the US economy could be set for a "mild recession" this year.

Some commentators believe the economy may already been in recession, although figures published on Tuesday showed that industrial output actually rose slightly in March.

In a speech on Tuesday, one of the bank's senior officials said that the economy had "all but stalled" and may contract in the first half of the year.

"I am not ruling out a recession," said Janet Yellen, president of the San Francisco Reserve Bank.

The Beige Book monitors economic activity in 12 of the country's largest business districts.


http://news.bbc.co.uk/2/hi/business/7351839.stm

[Ilsa]

1. I hope consumers start spending the day Obama or Clinton are sworn in.

I hate to see this recession end up big on the plate of the next pres, but I suspect it could be unavoidable.

[DadOf2LittleAngels]

2. You cant spend your way out of this...

There have to be jobs created (good paying jobs) so people can invest, not run down to big box mart for the latest cheap Chinese made tv..

[TwixVoy]

3. Jesus only in america would someone say something so ignorant

"I hope consumers start spending" - this about sums up just how grossly most people don't understand the situation. Buying cheap plastic foreign made crap at wal-mart isn't going to do a damn thing.

For the poster before this, despite what bush has told you and the nation getting out there buying imported crap - more than likely for many people on credit - isn't going to solve even one of the problems we face. The REAL problems we face are as follows

1. Countless jobs have been outsourced
2. Many of the jobs that remain no longer pay a living wage
3. People are living paycheck to paycheck and are NOT able to save
4. We are buying our cheap crap on credit. This is NOT real money, and now has resulted in millions of americans working every day just to pay the bank every month
5. Inflation on food, gas, and other daily costs have gone out of control
6. We no longer produce anything. We can not continue to consume and produce nothing. We import chinese plastic crap and EXPORT out wealth to them in doing so.
7. Retirement is in a MAJOR crisis right now. There are actually debit cards coming out so people can tap in to their 401k for everyday expenses. I kid you not. If people don't start saving for retirment again we will have major problems in the future.
8. The nation is getting TRILLIONS of dollars in to debt because of the iraq cluster fuck.

These are just SOME of the major problems we face. Going to wal-mart and pulling out your visa isn't going to do a damn thing to solve these problems, in fact it will make them WORSE. People need to SAVE not go out and SPEND more money they DO NOT have despite what bush tells you.

[DadOf2LittleAngels]

4. Are you under the impression that

I think spending is a good idea? Maybe I did not state myself well..

[TwixVoy]

6. Sorry I didn't mean to respond to you

I meant to respond to the first person.

[Ilsa]

5. Oh, for crying out loud, I know that.

I know the jobs are gone and that we have stagflation. I know we aren't producing much of anything any more. I know that the occupation is digging the biggest hole in the ground to China that this nation has ever experienced and debt is out of sight. Geez, everyone is wound up so tightly that you can't say anything off the cuff without having to write a thesis to explain yourself to avoid being sent to DU hell.

[TwixVoy]

7. I apologize for coming across that way

I am just very very concerned about what they have done to the economy and the country as a whole. Bushco has literally fu**ed us over for at least the next 20-30 years. We are in for rough times as a nation, and the sad thing is the worst hasn't even started.

[Ilsa]

8. I know. No harm done. I've been stocking my pantry and linen closets.

I've been making other plans with hubby for making sure his parents' land doesn't get sold off when they are gone -- we may be needing it to farm and raise chickens. We are in for a very rough ride, I'm afraid. The seventies could look like a party compared to what lay ahead if we aren't careful. And yes, ITA that Bush and the other rethuglicans are largely responsible.