First it was the economy was doing fine because consumer confidence was up and then a bunch of economist said that the recession would end in 2009, the last of the year.
And now we have this info from the AP:
The U.S. economy sank at a 5.7 percent pace in the first quarter as the brute force of the recession carried over into this year. However, many analysts believe activity isn’t shrinking nearly as much now as the downturn flashes signs of letting up.
There is more to this story from the AP:
The economy’s dismal performance over the last two quarters underscored the toll the recession, which started in December 2007 and is now the longest since World War II, has had on the country. Businesses have ratcheted back spending and slashed 5.7 million jobs to survive the fallout. Financial firms have taken huge losses on soured mortgage investments. Banks and other companies have been forced out of business. Home foreclosures have soared.
Weakness in the first quarter mostly reflected massive cuts in spending by businesses on home building, equipment and software and many other things. U.S. exports plunged, so did spending on commercial construction and inventories. But some of those drops — while huge — were a bit less than first estimated, contributing to the tiny upgrade in overall first-quarter GDP.
And come next Monday GM will most likely go into bankruptcy, putting thousands more workers out of work.
Would you like to talk about foreclosures?
Once again according to the AP:
The mortgage crisis is spreading and hitting new heights: Borrowers with good credit now make up the largest share of foreclosures as job losses and pay cuts exact their toll.A record 12 percent of homeowners with a mortgage were behind on their payments in the first quarter, the Mortgage Bankers Association said Thursday. And the trend is predicted to continue until the end of next year, about six months after unemployment is expected to peak.
I keep asking, will someone please explain the prediction of the recession ending in late 2009? To me none of this sounds like an end. If you work, then your recession will last a lot longer than those speculators that make money screwing the working class.
As the recession, which began in 2007, continues the worker gets further and further into a hole. There is NO help coming. Maybe it is time for the worker to take his future into his own hands. Just a thought.
Hmm… I was thinking that the economy’s just starting to pick up, only using my business as a gauge. All of a sudden, I’m getting customers -out of nowhere- wanting to commission some art. Art and other luxury items are usually the first thing to go when a recession hits; I always thought that a surge in art sales is the sign of a recovering economy… I could be wrong. All of this just started happening for me within the last few weeks.
You know you may be right…but are the customers from all over or just the general area? It will be interesting to keep an eye on the situation…you may well be the gauge we should use.
Hi there Chuq! I can’t seem to get online much this week. I just got a bunch more custom orders– can’t believe it. Most are in California, though, and also, I’ve lowered my prices, so that’s probably made a big difference. I don’t know if all these wives are just stocking up on jewelry while they can (before hubby files for bankruptcy?), or if there’s actually some money out there.
Other than my business picking up after a terrible slump, I don’t see a whole lot of other signs of a recovering economy, except that rush-hour traffic’s getting heavy again around here. Hmm…
How are you this week, by the way? 🙂
Hi girl as always it is good to here from you……congrats on the up tick in business helps keep hunger at bay. The economy keeps getting worse and worse and they keep telling us that it is better and better…..from where I sit it sucks.
You know, you’re right. I think the economy’s actually getting worse and women are out buying art/jewelry/luxury items in fits of insanity as they prepare to file for bankruptcy.
There sure aren’t any more jobs out other than there were a few months ago, that’s for certain.
In the meantime, I’m happy to see the extra cash! I’d better milk this female shopaholism/insanity trend while I can!!! LOL !!!
Always milk the sacred cow….make hay while you can…….I know there are other sayings in there but you get my point…..lol. Yes you must feed their need and in the meantime you can feed your tummy…that is always important.