Economic outlook 2009-2012

The Second Leg Down of This Great Recession Could Be Worse Than 1930s.

Frankly, I believe in math. Negative earnings and double digit PE ratios tell me that this market is overvalued and economy is getting worse. Dow 4500 or lower isn’t impossible!!!

The recession will continue to deepen through 2010.

The recession will continue to deepen through 2010, in spit of the rigged statistics which are restated constantly, and the lack of integrity in the reporting of unemployment. The CES Birth / Death model should not be used as a measure of anything. Also, we should break out the temporary census workers from the unemployment numbers. This is a joke and is simply a way of getting around paying unemployment insurance.

Economist Nouriel Roubini: “Double Dip Recession Risk Rising”

There are also now two reasons why there is a rising risk of a double-dip W-shaped recession. For a start, there are risks associated with exit strategies from the massive monetary and fiscal easing: policymakers are damned if they do and damned if they don’t. If they take large fiscal deficits seriously and raise taxes, cut spending and mop up excess liquidity soon, they would undermine recovery and tip the economy back into stag-deflation (recession and deflation).

U.S great 2009-2010 depression is more likely now

As U.S has less power to borrow money, struggling to pay for the interest, more layoffs keep coming from every corner of U.S, more seller&less buyer in the housing market, more ineffective economic bailouts and a collapsing banking system, Great depression II looks more obvious going to happen than it was in 2008.

Here’s what you can do to help your families prepare for 2009-2010

First — read everything you can about the great depression and similar financial collapse - soviet union, argentina, etc. People lived through it — some better than others because they were prepared. Here are some suggestions for preparing for it:

Preparation ideas for the deeper economic crisis

We are headed for the deep abyss of the Economic crisis, so we have to reinvent our society and the personal framework in which we live. I don’t see how we are going to take the arm chair approach and sit back and let it all “just happen”. We have to share ideas, which this blog is great for. So my thoughts are nothing new:

2008-2009 depression is worse than 1929, we can’t create demand like what we did in WWII.

People forget that the Wall Street crash of 1929 was actually the last gasp after a 2 year decline. The market lost 87% of it’s value from the high of 452 to the bottom of 58. If the Dow loses 87% of it’s value from the August 2007 high of 14,300, we will bottom at around 1,859. THAT is really possible. It is actually more LIKELY than a turn-around.

A Great 2008-2009 Depression

“The Feds cannot print enough money to save the day. We’re going into the worst depression that any living person has ever seen. It’s going to be worse than the Great Depression of 1929.”

Do you realize that Barack Obama recently said that he would not rescind the Bush tax cuts. He said this on ABC, September 7, 2008, IF the economy were in a recession. IF the economy is in RECESSION?! This is worse than a recession! We’re going into the greatest depression and people better beware.

US Layoffs List - The Latest Casualty Count

Citigroup and Goldman Sachs are each planning to pare about 10% of their workforce, and a similar cut at J.P. Morgan would mean 3,000 dismissals globally, the report said…

Year 2008 vs. 2009 income tax rates

To find out what you are going to pay for tax in year of 2008-2009, check this out.

2009-2010 Inflation (or Hiperinflation)

I think a lot of things will be much higher in price, including oil, next year or maybe later this year. But, don’t confuse price with value.

If there is any economic recovery globally and the dollar is falling, we could see any possible price you want to imagine but, it would be in dollars, and not other currencies…

2009 will be much worse than 2008

You don’t have to be a rocket scientist to know that 2009 will be much worse than 2008. I took a drive around one of these “outlet centers” yesterday (in Southern California). There are probably a couple of hundred stores in the complex.

U.S double digits unemployment rate of 1980-1981 vs. 2008-2009 single digit

The early 1980s recession was a severe recession in the United States which began in July 1981 and ended in November 1982.The primary cause of the recession was a contractionary monetary policy established by the Federal Reserve System to control high inflation.

How To Monitor The Market In The Recession Of 2009

As 2009 arrived, the second year of the recession, everyone should be careful how the situation change in order to protect yourself whether you play stock market or not. For doing that, you have to properly monitor the market. A lot of uncertainties laid ahead, I can’t predict the short-term movements of the stock market. I haven’t the faintest idea as to whether stocks will be higher or lower a month — or a year — from now. But you can do the best to reduce your loss (or make money if your lucky) in situation like this.

Celente Predicts Revolution, Food Riots, Tax Rebellions By 2012

Trend forecaster, renowned for being accurate in the past, says that America will cease to be a developed nation within 4 years, crisis will be “worse than the great depression”

The Whole New Crisis for 2009-2012

To understand the challenge that Mr. Paulson faces, let’s start with a fact about which every serious policy analyst agrees: The government budget is on an unsustainable path. Americans are living longer and having fewer children. Together with advances in medical technology that are driving up health-care costs, this demographic shift means that a budget crunch is coming when the baby-boom generation retires. The promises made to my generation for Social Security, Medicare and Medicaid are just not affordable, given the projected path of tax revenue…