“Who are they trying to kid?” Bittner says. “Are they trying to make you think it’s better so you’ll go out and spend?”
Well, yes. The nation’s fragile consumer confidence, which sank to a record low about a year ago, could keep the fledgling economic recovery stuck in first gear, says Ken Goldstein, an economist at the Conference Board, a research group that keeps close tabs on consumers. — Yahoo news
People are still losing jobs and that’s the yardstick main street economists (the regular person) uses to measure economic recovery. As the regular person will tell you, the recession is not over because our financial model is not sustainable. Imagine there is no money in circulation so the bank issues the very first money in the world (lets say the amount is $100) and that’s all that exists on earth. Now the bank demands that full amount back plus 10 percent interest so the bank wants back $110. See the dillema? There is only $100 in circulation but to complete this transaction and pay the bank back is impossible unless another $10 dollars is created to pay off the interest.
So, they keep printing more and more money. It could even be said that all credit is debt. There is in fact a shortage of real, hard money in circulation. It’s no wonder the world is in so much trouble. As an example, the Toronto Dominion bank is predicting a big jump in bankruptcies this year. Indeed, it is clear that banks run this country and our elected members in office are just front men for the bankers. We have to break ranks from the world bank system. Yes, it’s possible to survive without them breathing down our back.
In fact we would thrive on our own. There are alternatives to this current system. We regular Americans and Canadians don’t really believe globalization is helping. The track record certainly agrees with the regular joe. For instance, “free trade” (which is only one-way trade designed to strip industry out of Western nations) has only helped to pad the pockets of the rich. Our leaders have to say what the World Bank tells them to say. High interest rates and money supply are the reason the cycle starts. Central banks tighten the money supply and we go into a recession. Then they loosen the money supply and we go into a boom. It’s also known as the boom bust cycle. Each time we enter recession the rich feast off the spoils. Why in gods name would Americans want anything to do with a system that is clearly not sustainable?
Recession is ending? Some Americans don’t buy it
By MEGHAN BARR, Associated Press Writer
WINSBURG, Ohio – The clerk at the candy shop does not want to cry. She is determinedly cheerful, a professional smiler, dressed head to toe in bright turquoise.
But standing next to a display of plastic-wrapped candles and teddy bears, her face crumples at the most basic of questions: Are you doing OK?
“I’m sorry,” she says, wiping her eyes with a shirt sleeve, her voice a shaky whisper. “Because at the end of the month, there’s nothing left. I don’t know what to say. It’s almost getting to the point where I don’t know what we’re going to do anymore.”
For four years now, Julie Bittner has rung up customers in this little store on the charming grassy square at the heart of Twinsburg, Ohio. And from her view by the front window, she has watched the fortunes of a ransacked autoworkers’ mecca slowly drain away. Streets once teeming with people are now deserted. Some days, she says, not a soul comes through the door.
She’s seen the headlines. The recession is ending! Unemployment is stabilizing! From Wall Street to Washington, the message comes: America, the worst is over. Let the spending begin. But in places like Twinsburg — where for so many the misery goes on, unabated — people aren’t buying the rhetoric. If brighter days are ahead, they say, they’re still awaiting the dawn. Source: Yahoo news