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What happened to all of the doom and gloom economic threads?

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$22 Billion Housing Tax Credit Program Utterly Failed as Economic Policy
Jonathan Brogaard & Kevin Roshak (both of Northwestern University, Kellogg School of Management) have posted The Effectiveness of the Financial Crisis Housing Tax Credit Programs on SSRN. Here is the abstract:



Fiscal stimulus has been suggested as a tool to prevent excessive price declines by creating incentives to increase current demand. In 2008 and 2009 the U.S. Congress passed several housing tax incentive programs to encourage activity in the residential real estate market. This paper examines the impact of the different housing tax incentive programs on the demand for housing during the financial crisis. Using city level data we implement a differences-in-differences-in-differences methodology to isolate the impact of the tax credits on the quantity of housing transactions and their prices. We find that quantity was unaffected and that prices rose only temporarily. The results showed no statistically significant difference in quantity. However, prices in affected housing markets rose on average $6,509 more than unaffected markets during the program. This price differential more than reverses, falling $7,721 after the expiration of the final tax credit program. The speed of these price movements is quick. The price increase takes place largely within a month of the first large tax credit, and the price drop occurs predominately in the two months following the credit expiration.

The paper concludes:

This paper finds that (1) the home buyer tax credits had an insignificant effect on the number of homes sold, (2) sellers in markets with low and stable prices captured most of the credit, and (3) The effects of the credits sharply reversed after expiration. ... Rather than igniting 'animal spirits' or pulling housing demand forward from the distant future, the tax incentives were a simple redistribution of wealth.
 
I'll save you the trouble TURD POON


Do you know who Jonathan Brogaard & Kevin Roshak (both of Northwestern University, Kellogg School of Management) is?:rolleyes:
 
PRESSURE: MOODY'S PUTS USA ON DOWNGRADE WATCH


Opps

Moody's?????????????????


But

BUT


BUT


Where the fuck is that PATHETIC POON?????????????

Post some shit from 17 years ago, willya?

FUCKING ASSHOLE
 
Tonight Tens Of Thousands Of Formerly Middle Class Americans Will Be Sleeping In Their Cars

"Economic despair is beginning to spread rapidly in America. As you read this, there are millions of American families that are just barely hanging on by their fingernails. For a growing number of Americans, it has become an all-out battle just to be able to afford to sleep under a roof and put a little bit of food on the table. Sadly, there are more people than ever that are losing that battle. Tonight, tens of thousands of formerly middle class Americans will be sleeping in their cars, even though that is illegal in many U.S. cities. Tens of thousands of others will be sleeping in tent cities or on the streets. Meanwhile, communities all over America are passing measures that are meant to push tent cities and homeless people out of their areas. It turns out that once you lose your job and your home in this country you become something of an outcast. Sadly, the number of “outcasts” is going to continue to grow as the U.S. economy continues to collapse."

"Today, it is estimated that approximately a third of the homeless population in Seattle live in their cars."

"In many U.S. cities, it is even illegal to sleep on the street. If you are homeless I am not sure what you are supposed to do. In some areas of the U.S. you can't sleep in your car, you can't sleep in a tent city and you can't sleep on the street.

"So what should we do with all of the Americans that are being forced out of their homes by this economy?

"Should we just round them all up and put them into fenced camps?"

"Poverty is absolutely exploding in America. The number of Americans that are going to food pantries and soup kitchens has increased by 46% since 2006. There are 44 million Americans on food stamps. If it was not for measures like these, the streets of America would be filled with destitute people.

"Things are tough out there and they are about to get tougher.

"At the beginning of next year, the extended unemployment benefits that have been helping the unemployed during this economic downturn will expire. Up to now, many unemployed Americans have been able to enjoy up to 99 weeks of unemployment benefits. Now that is coming to an end.

"According to the New York Times, this is going to drain 37 billion dollars out of the wallets of unemployed Americans that are just barely hanging on."

"Cisco has just announced that they are going to be laying off 10,000 workers. Other large firms are expected to announce more layoffs shortly. The number of good jobs continues to shrink.

"There are other signs that the economy is slowing once again. Pre-orders for Christmas toys are way down. Vacancies at U.S. shopping malls are rising again. Nearly every major poll shows that Americans are extremely pessimistic about the economy right now."

"America is in an advanced state of decay. The number of "outcasts" is going to multiply as more Americans lose their jobs and their homes. Millions more Americans will be sleeping in their cars, in tent cities or on the streets before this is all over.

"The U.S. economy is never going to get back to "normal". What we are living through now is the "new normal" and it is rip-roaring prosperity compared to what is coming.

"Please show compassion to the people around you that are hurting right now.

"You never know, as the economy continues to unravel it may be you that needs some compassion soon."

More @

http://theeconomiccollapseblog.com/...n-their-cars-in-tent-cities-or-on-the-streets
 
Don't worry Eyer. This will finally prove you right and liberals wrong. Those people will immediately find jobs because the real reason we're in a recession is because Americans are lazy not because there aren't jobs.
 
Sean Renaud said:
Don't worry Eyer. This will finally prove you right and liberals wrong. Those people will immediately find jobs because the real reason we're in a recession is because Americans are lazy not because there aren't jobs.
Click to expand...

Tell Obama.
 
NIGGEROMICKS led to OBAMAGEDEN

CHANGE: 20% Drop in Housing to Cause Recession in 2012, Says Gary Shilling.


REUTERS: U.S. Dollar “On The Run.” “The U.S. dollar was on the run in Asia on Thursday after a ratings warning from Moody’s and a hint of further policy easing from the Federal Reserve unleashed a wave of panic selling, much to the relief of the hard-pressed euro.”
 
And Obama walks away in order to lead from behind sniping at everyone else's ideas while offering nothing other than, "I'm going to cut off grandma's Social Security if you don't let me continue to binge spend on my reelection constituencies."

"I want higher taxes even if they decrease revenues because it seems fair to make the rich share more sacrifice. Pharaoh Obama wants 25 goats instead of 20 in order to stimulate the production of goat milk!"
__________________
Barry Says: You have that one nailed A_J!
http://pajamasmedia.com/tatler/files/2011/04/obama-wide-grin80.jpg
 
*chuckle*

The IOUs of a Generation Lost



And the Dems say the stock market is an unsafe place in which to place money...
 
The debt ceiling will almost certainly be raised although Gallup suggests only 22% of the public supports such action. This action might prevent some short-term discomfort but only at the expense of longer-term tragedy. Both time frames are explored below.

A Short-Term Perspective

August 2 is the date that Treasury Secretary Geithner estimates the government runs out of money. That apparently is when the federal government exhausts its ability to "steal" from governmental retirement and other sundry accounts. July 22 has been mentioned as the "drop dead" decision point in order to prepare for a government spending scale-back.

August federal government revenues are anticipated to be $172.4 billion; spending, $306.7 billion. This shortfall of $134 billion is no surprise. The monthly shortfall annualized represents a yearly deficit of $1.6 trillion, in line with the deficits of the last two years.

If The Debt Ceiling Is Not Raised

If the debt ceiling is not raised the government will have to cover the shortfall in two ways:

Raise Revenues
Cut Spending

Additional revenues cannot be obtained for the month of August. Nor is it likely revenues could be raised for subsequent near-term months. Thus a decision to not raise the debt ceiling leaves government only the option of cutting spending.
Which payments will be honored if spending must equal revenues? This chart from Zerohedge details August government spending and offers one possibility:
Click to expand...
See chart: http://www.americanthinker.com/2011/07/the_debt_ceiling_charade.html

Contrary to much of the wailing, government need not default on its debt obligations unless it chooses to do so. They can easily be met within the expected revenue stream. The claim that we will default on debt payments is a political red herring.

The items below the dotted line could not be paid in the scenario shown above. Other scenarios might differ in terms of priorities, but the fact is that there is a $134-billion shortfall in August and similar shortfalls in subsequent months. All one can do is move items around, an exercise akin to furniture rearrangement on the Titanic.

The quandary shown above is what will likely lead to an increased debt ceiling. That does not solve the country's problem, yet it solves the politicians' problem. It appears to make the problem go away, but only cutting spending will solve the real problem. That hard decision recognizes that resources are limited. It kills the image of government as Santa Claus, something politicians are unwilling to do.

If The Debt Ceiling Is Raised

Raising the debt ceiling may provide a third option. However, the key word is "may." Just because it becomes permissible under US law to borrow more does not mean that markets will cooperate.

There are disturbing signs the US is close to being unable to borrow in credit markets. Our profligacy has been criticized by major buyers of Treasuries like China and Russia. Both maintain they are cutting back their holdings. Allies like Japan and Britain are defending against their own financial apocalypses leaving little money available for anything else.

The profligacy of the US government cannot continue. It cannot continue to spend 42 cents more than every $1.00 it collects. We are potentially close to the point When Lenders Stop Lending, perhaps one event away from a financial catastrophe that will reduce us to Greece.

Markets may have already made a judgment. QE2 ended June 30. For the prior six months the Fed purchased about 75% of US deficit financing. Absent the Fed's involvement, would these bonds have been purchased in traditional credit markets? If so, what interest rates would have to be offered?

A debt ceiling increase does not guarantee a short-term solution to US deficit financing. If others decide they will no longer continue to support our Blanche Du Bois lifestyle, a rise in the debt ceiling is meaningless.

...

New QE

QE3 is almost certainly coming. It is not because it will help the economy. Additional QE is coming because the US government is unable to finance additional deficits at reasonable interest rates. Is that a condition of bankruptcy? Technically no, but it is usually the final event before sovereign bankruptcy.

The US condition is very close to the condition of Greece. They are unable to raise funds in credit markets so request that the European Central Bank "print" money for them. The US government has the Federal Reserve purchase debt when markets refuse to buy. That is money-printing and virtually identical to what Greece is asking for.

Late breaking: As I finish this article Ben Bernanke has admitted that QE3 is likely coming in testimony before the House. Markets have responded dramatically, especially gold.

A Longer-Term Perspective

Assuming the short-term obligations can be navigated with additional debt, the longer-term outlook becomes even gloomier. Buying time, even if possible via a debt ceiling increase, does nothing to solve the real problem. It only adds to it.
In a spiraling debt crisis, time is the enemy. The problem worsens as time passes. This is especially so with regard to the spiraling costs associated with US unfunded liabilities. These represent the hole in the boat that cannot be plugged.

...

The magnitude of numbers in the billions or trillions is incomprehensible to most. To reduce these numbers to measures that can be understood, the following assumptions are used:

The population of the US is 330 million people.

The number of households in the US is 150 million.

The funded debt of the US government is $14.5 trillion.

The total liabilities (funded and unfunded promises) of the US government are $120 trillion.

By converting government obligations to individual and household portions, the numbers become understandable (and unconscionable):

Funded Debt: Each individual in the US has been put into debt by government borrowing to the amount of $44,000. Each household, on the same basis, owes $97,000. A family of four, $176,000.

Total Liabilities: Each individual's share of total government liabilities is $364,000. Each household owes $800,000. A family of four, $1,456,000.
...

Summary

Solving the debt ceiling problem in ways floated before the American public is nothing but a political fix. It is not a solution to the underlying insolvency/bankruptcy problem facing the US government. A series of similar political fixes is why we are in this position.

The US government has been insolvent for years. Now bankruptcy is a risk because it is potentially "borrowed out."

QE3 is not a solution. It is currency destruction that leads to eventual hyperinflation which wipes out fixed incomes and most savings. It is nothing more than a temporary political escape from reality. It ensures the ultimate political and economic collapse of the country.

Government has no one to blame but itself for this problem. No one but government is capable of solving it. Unfortunately, government knows how to create problems but not solve them.

The only solution is to pare back government to where it is no longer destructive to the productive sector. It must be defanged and caged.
Click to expand...
 
Four-week claims average falls 3,750 to 423,250

WOW

COLOREDCUNT musta hired some new people to do her hair!:rolleyes:
 
U.S. retail sales edge upward in June

all of .01%

COLOREDCUNT musta bought 2 extra burgers
 
The latest is that Cantor has proposed another short term fix to to give leaders more time to negotiate additional budget savings while avoiding a calamitous default, since negotiations with the administration are stalemated. The slight of hand budget tricks offered by Obama are not going to suffice. Obama's group lacks specific details of where they are willing to cut expenses. They are still trying to float the idea that extensive savings will be derived from ObamaCare. The GOP are standing strong insisting on no tax hikes and major budget cuts specifically illustrating actual details.

The most insane statement was Obama claiming that his opponents were “too focused on positioning and political posturing”, as he stormed out of the fourth failed meeting.

Is that a laugh, or what?

Obama faulting the others for political posturing! HAHAHA!

http://media.townhall.com/Townhall/Car/b/kn071411dAPR20110713034515.jpg




. .
 
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