So, what is it that will recover the economy? 2009 right?

[TwixVoy]

The news media keeps saying we will see a "recovery" at the end of 2009. This is the same media that was first saying everything was fine, THEN saying we were just in a mild "slow down", THEN saying the stimulus checks would make everything OK and we would see a summer recovery. Everyone remember the "summer recovery" line that got played a million times?

So has anyone actually heard what it is that will supposedly result in a recovery in 2009?

It is obvious that deficit spending can not continue. Charging up credit cards, taking out HELOCs, and business/government doing the same is over. Now... ASSUMING the already accumulated debt doesn't spiral completely out of control next year and the worst happens.... what, exactly, is going to take the place of spending on credit?

The economy is 70% consumer based. Right now the consumer is out of cash. The consumer can no longer get crazy HELOCs and other mega loans to finance consumer spending. We have a negative savings rate. I can gurantee you the last major unions will be killed off completely by this time next year. We MIGHT lose our auto manufacturers as well. So where does that leave most jobs? In the service sector. Not exactly the most high paying of jobs. Can this country, based 70% on consumer spending, survive when half the country is making $8/hr in the service sector not even on 40 hours a week?

The powers that be are on the floor of the US SENATE demanding that our auto workers get paid according to FOREIGN AUTO COMPANY PAY SCALES. Think about that for a moment. So we are in a race to the bottom folks.

Also the news now is that OPEC is going to cut production and we are going to see more increases in fuel prices again. (that's a surprise)

So what exactly is it that is going to generate a recovery in 2009? Maybe I am completely missing something, but I see absolutely nothing that leads me to believe we will have a recovery in 2009.

[Saturday]

1. Well, for one thing....

someone with a brain will be in charge. That should help a little.

[TwixVoy]

2. Yes it should

but the question remains WHAT will be done to see a recovery in 2009? Bushco has screwed us so badly it would take a perfect storm of events to fix things by 2009.

[lifesbeautifulmagic]

3. the price of gas is lower, and the banks may start loaning money again.

that should help a little.

My husband's job, along with 1000 others was eliminated in July (the press release called it a layoff, as if it was coming back, it's not), he has been sending out resumes to beat the band, and has had practically zero response. We have burned threw our savings and are starting on his severance, we can last until July, and then we will probably sell our house. I never never in a million years thought I would be in this position, at the age of 50. I believe things will get better after the first of the year, because that is the only thing I can believe, I am tired of crying myself to sleep.

[trof]

4. It's gonna be like the airlines' 'creeping delay'.

First it's a few minutes until a 'technical problem' is resolved.
Then an hour, then two.
Then "We're trying to get another aircraft".
Then the flight is canceled.
"We'll book you on a later flight."
And on and on.

Hang on to your boarding pass.
;-)

[Double T]

5. There will be no recovery in 2009, 2010, 2011, 2012 or 2013.

It has been a race to the bottom for decades and 'we' are still searching for the elusive bottom. I believe 'we' still have a long way to go. The happy talk by the wall street shills is total crap and it will take decades to put our economY and financial system back on track. The wealthy will continue to eliminate the middle class; the very thing that made them wealthy in the first place.