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Another Great Depression?

im taking a economics class this semester...
yea our economy is going down....we arent in recession yet, but wen the results of 1st quarter 08 come in my economics professor is forseeing recssion

my dad also thinks recession is coming
 
donnntttt curse ussss!!
haha, but I surely hope not, I think with the new president coming in in 08' we oughta be able to pull out of this massive debt we're in, hopefully =)
 
i am you aint i? said:
Hi, if you read/watch the news in the United States you know that that housing market is crashing.

Why you might ask? Well, its because people got loans when they were really low interest on them, and now the interest rose, and many cannot afford to pay it. Also, there houses are worth less than before.

So, many are forced to close there houses, and they are not left with anything.

So, my question for you is, are we heading for another great depression?

Some signs are already here, the interest rates, the housing market crash, etc.

Discuss.
Click to expand...


Ehh, well it's hard to say, I don't think that there will be another Depression, because from what I heard,
"We are to powerfull and rich now" [unquote]
Click to expand...
 
the house markest isn't so good but no I don't think another depresion. my pops built a house and made it more sexy like hoping to sell and make a profit. Couldn't sell so it got forclosed.
im sure a lot of people have lost their houses as well.
 
The business cycle is as follows

Prosperity --> Recession --> Depression --> Recovery

I highlighted "recession" because thats what we are in now. Slowed economic activity. We well most likely go into a depression but it wont be for a while.

Also, 'The Great Depression' was the name for the depression in the 1920's. It is not a reoccurring event.
 
I dont think it will continue onto Depression. just yet.. Maybe early next year.
 
wtp said:
I know that and thats exactly whats going to make them more money. Were sending all of our money out of the country making china rich while were losing money.

Soon people in china will be getting paid better since there is more money in china. While people in the US will be getting paid less because theres less money in the US
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If you think about it, it's the governments fault on that one.

Why do American company's Get their products from china? It's cheap.

So why doesn't every company do that then? Because the government makes you spend millions of dollars jumping through red tape for about ten years.
Only the huge company's are rich enough to do this.

If any company were allowed to build factories in china and get all there products from there, the prices for labor would be driven up due to competition. Which would no longer give company's any incentive to "send their money to china", as you said.
 
megaman 2006 said:
If you think about it, it's the governments fault on that one.

Why do American company's Get their products from china? It's cheap.

So why doesn't every company do that then? Because the government makes you spend millions of dollars jumping through red tape for about ten years.
Only the huge company's are rich enough to do this.

If any company were allowed to build factories in china and get all there products from there, the prices for labor would be driven up due to competition. Which would no longer give company's any incentive to "send their money to china", as you said.
Click to expand...

Regardless this is how America works... People have to supply a good product to satisfy the needs and exceptions of customers. All big companies do it for the customers. Just like larger companies can supply refunds to angry customers... Smaller companies can't do this.

You blame the government, but probably complain about prices of and quality of merchandise.
 
doesnt look like it to me

i think we're gonna lose our superpower status tho
 
The us is very close to a depression...
first of all people cant pay back their loans and most houses are going into foreclosure..
The US simply prints more and more money which is pretty much useless to cover debts-creating more debts in the longrun, and also tons of jobs are getting outsourced..real close to one :S
 
thuglifelt said:
The us is very close to a depression...
first of all people cant pay back their loans and most houses are going into foreclosure..
The US simply prints more and more money which is pretty much useless to cover debts-creating more debts in the longrun, and also tons of jobs are getting outsourced..real close to one :S
Click to expand...

If only you knew HOW wrong you are.

1. We are years from a depression.

2. We don't print money, we barrow it from other countries.

3. We aren't paying out debts, we are 9 trillion dollars in debt.
 
Hmm i just explained how were making more debt in the end didnt i?-at the least there will be a recession..
Also years from a depression, well see soon.
We do borrow stuff and then pay back with us money..
since their is a lack of money..the federal reserve simply prints more and more to try to pay off other countries..
but there to stupid to know it just creates more problems for the us..
 
thuglifelt said:
Hmm i just explained how were making more debt in the end didnt i?-at the least there will be a recession..
Also years from a depression, well see soon.
We do borrow stuff and then pay back with us money..
since their is a lack of money..the federal reserve simply prints more and more to try to pay off other countries..
but there to stupid to know it just creates more problems for the us..
Click to expand...

No, we don't just print money to pay them back. If we did that the inflation rate would go off the books.

We we in a stage of prosperity at the beginning of George Bush's time in office. Ever since then, any money we borrowed (or almost all of it) we haven't payed back.
 
Say good bye to prosperity lol..also how is inflation not imminent right now?
Either way george bush was a mistake lol
 
thuglifelt said:
Say good bye to prosperity lol..also how is inflation not imminent right now?
Either way george bush was a mistake lol
Click to expand...

Don't use George Bush as an excuse for your ignorance. Depressions and Recessions are part of something called "the business cycle."

And no, it is no as imminent as it would be if we printed 9 trillion to pay off our debts.
 
Agreed, if 9 trillion dollars are printed the value of the USD would just go very low, and the USA would still be in debt.
 
Have fun with the "the business cycle."..
the usa already prints billions instead of billions for various reasons..
even tho its not trillions its worse enough-the value of the usd is also very low and is just going to drop lower.
Dont post anything more to argue against me please i dont want to have to keep coming back and forth to this thread.
 
Ok, I am done listening to you be a hard headed kid.

Do you honestly think we would be in debt if we could just print off all the money we wanted with no negative side-effects?

NO WE WOULDN'T BE.
 
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