The Economy Continues to Slide Down
Posted by hanson807 on June 16, 2009
The oil and coal production and use have been declining now for almost a year. Parts and use of trucking has dropped significantly in the past year. Airline travel is also dropping off. Trucks are shipping 13% less freight. These kinds of declines do not show a slowing of the decline of our current economy, they show just how deep we have currently droped.
Tax receipts, the money the IRS takes in has declined 34%. This is indicative of a huge decline. That shows that the American public has taken home significantly less pay than the previous year. This means they will buy less cars and trucks, less goods and services in the following months. The current unemployment level is 9.4%. The only thing the report said was that the rate of loss of jobs has declined. That really means nothing. As the percentage grows, there are less and less jobs to lose so the percentage will continue to drop. The unemployment by mid August will be above 10%. I would predict that if it hits 12% the government will be forced to raid all 401k’s to bolster the social security funds to maintain benefits to recipients. The talk about taking the 401K money has started. More designs are being drawn up to gain control of more financial markets.
What has happened is not that complicated. We have come to the end of a cycle. The computer age, the age we are in, grew for years and bolstered our economy. As the factories became more efficient and the market began to age we reached a plateau. We had 9/11 and then the war in Iraq. The entire time we had a press that disliked Bush. So the press talked the economy down as well as all of the democrat politicians. Since most are liberal, they have wanted us to fall. The problem is, we are a keystone species. Our economy drives the economies of China who some see as a major player with the posibility of over taking the US in economy. However, with the decline in the US economy we see a corresponding and larger decrease in the Chinese economy. Amazingly enough, the talking heads beleive that the amount of government control in China will actually help their economy and enable them to improve the economy faster. Is it any wonder that these same talking heads want more control here?
I beleive we need to start looking at new technologies and industries to rescue the economy. Start investing in upcoming industries such as robotics and bio-science. We have not seen the jump in biological science that we will see. The increase in drugs and medicines is exponential. Also look for jumps in technology that hooks humans to computers. The thing not to do is beleive we can have a return to where we were. I am not saying it won’t be as good. Of course it will. As a matter of fact it will be significantly better by all measures. But the government is lying about slowing the job loss and regaining jobs. This is a change in our economy. It is an opening for a new technology to emerge and a push to leave things behind. We are having this dip because we are in the lull between era’s. The government can’t spend our way out of it. We can invest and grow our way out of it but not by old industries and ideas. Look ahead, the economy of the old era is in decline.