Are We Headed for Recession?

Yes, I think a recession or even a depression are in our future, likely the near future. Rather than becoming gloomy and pessimistic, I think it is important to focus on preparing for and surviving an economic recession. To that end, if you have land, learn to grow some food. Plant a garden, raise chickens, learn to live off your own land whenever possible. Save your money, pay off debts, stop spending needlessly. Invest in gold and solver because the Americna dollar is going to be worth almost nothing with inflation. And finally.... vote for Ron Paul for president. Google Ron Paul if you haven't already, and learn why our country needs Ron Paul now more than ever before.

I've been nervous for months now as I watch for signs of potential economic disaster. I live a very precarious existence. We lost our business after 9/11 and are still working our way back. At 63 there is no chance I will ever "retire" in the traditional sense, which is fine with me. Recession is a word, and like "strike" and "ball" it becomes real when somebody calls it. Things are tough now and I expect they will be tougher still for at least another year. What am I doing about it? Well, I dusted off my other nom de plume, The Sensible Shopper, and I'm writing about ways to "live well on less". Going to the BlogWorld conference this week to see if this old dog can learn some new tricks. Am I optimistic or pessimistic? Pragmatic.

I am glad I do not think like some people here. Doom and Gloom when the economy is doing very well. Yes, there are a lot of issues at hand and the housing market is part of that, but do you realize how small that portion reflects the economy? The deflation of the real estate bubble presents tough choices and intriguing opportunities. People make decisions that put them in situations they can not afford not Democrats or Republicans. You need to read more!! Stop listening to the ONE SIDED/MINDED news and READ. Call some mutual fund companies and do some research yourselves. I am an Economist, and I do not hope for Democrats, who, by the way, raise taxes, want socialistic/communism economics. Nor, do I want a one sided Republican. I agree we could take the politics out of economics, but I also see where we need politics. I hope you get some insight on your illogical thinking. However, I am glad you noticed a general tone of Economic Optimism because you, my friend, are not!

I believe recession is coming. I don't think we have choices anymore. The price of oil (barrel) is like the domino that pushes the whole line over. We're spending money on gasoline, products prices driven higher by shipping costs, etc. There's no money left for buying power or boosting the economy. It's worriesome.

Three words: Fall of Rome (that's five).

YES! Too many Americans live beyond their means, and eventually the house of cards collapses. Without the corrupt mortgage industry to prop up homeowners through interest-only loans, jumbo loans, ARMs, and HELOCS, too many "houses" are collapsing at the same time. It frightens me that ordinary Americans are expected to prop up the economy with excessive spending around the holidays. This was once billed as a patriotic act. Yet many of us, myself included, can't afford it. My budget for the holidays is $500 and I hope not to need it all. While I'm at it, I'd like to put Congress on a budget!

I tend to agree with Paul Krugman (a columnist and economist) who I saw speak last night. His general tone was one of guarded economic optimism; his optimism based on the hope that the Democrats will take charge of the White House in '08. The Republicans are taking us towards a very stratified society, where the rich get richer and the average American has to suffer through expensive health care and a housing crisis. Politics are dictating economics, so if we hit a recession, I wouldn't be surprised, but I would hope that it would invigorate voters to seek a change.