How Did we get in this mess, and how do we clean it up?


Do What Thou Wilt
The Recession. We've been in it, what, 2 1/2 years now? even Longer?
So, how did we get in this mess, and how do we clean it up?
While their are many theories, here is what I think is the problem, mine is a 3 part problem:
Labour Unions: The major manufacturing companies have been facing a problem: Labour Unions demand more money for its members, fewer hours, and more rights. I'm all for rights, but you can't demand even more money, and less production time. This makes a massive drop in profits for the companies. So they either, A) In the case of Ford, and they, in an attempt to drop prices to attract more customers, drop quality, actually driving demand for Fords down, ruining their stock even more.
B) They move over seas in an attempt to escape labour unions and find even cheaper labour unions. The economies move away from America, to Asia, or Africa. This drives american stocks down.

War: Every single war, since Roman Times, has affected the economies of the nations involved, mostly in a negative way. The Nations Militaries consume a large amount of resources, and it drives up the price of those various resources, such as, in this day, rubber, steal, aluminum, gasoline, and all sorts of resources.

Frivolous Government Spending: The government spends too much. On Military in a state of war, NASA, soon Healthcare, and stupid organizations such as OSHA, EDA, FEMA, ACORN, and others. These are more often that not, big money pits, that do not put out as much use as the money that is put in.

We all know the problem of Wall Street, but, I'm not too educated about that stuff. But it has to do with investors spending frivolously and not making long term investments.

So this has dug us a deep pit. So How are we going to get out of it?

Create More Jobs: With technology going at a enormous pace, it will easily create more jobs. The problem is that these jobs require higher education. While many are able and willing to get a high education, their are always the slum who refuse to do so. And others who can't. One solution would be to make education cheaper, through publically funded colleges. The problem REALLY comes along when teacher's pay is so low, that they won't keep the job or form labour unions.

End Labour Unions: This a main problem, if they are outlawed, they can drastically change boost our economy. The problem is, alot of people want labour unions and don't realize how much they are fouling our economy. so the government needs to lower the income tax to suit this, as a compromise. This will also encourage major manufacturers to return to America. Though admittedly, Labour Unions do not need to be completely disbanded. They and the companies need to make more compromises, but not be totally ridiculous with their demands.

Encourage Spending: If the people are encouraged to spend more, rather than save, it can stimulate the economy and increase various stocks. This will also encourage investors to buy stocks, and maybe be more long term.

Increase spending in matters that need the money: This has long been a solution to Economical hardship. From Adolf Hitler's public investments in Autobahn, which also created jobs, and Rosevelts New Deal after the Great Depression, wisely spending money in the right areas has always created jobs, stimulated the economy, and generally improved the nation. Public investments in, maybe the high way system, or even in national parks, by making tolls, or anything, really. Dozens of small things like that can dig us out of this binge.

Their are many ways we can get out of this mess. Well ^ thats what I think. What about you?
I'm open to discussion, just, be respectful guys.


Registered Member
I disagree with the entire premise of your argument. I don't think it's the government's job to do any of the above. I don't think the government has any part in the solution. In fact, I think the government is the problem. I think the government should quit trying to manipulate the economy, or do anything about it at all. I think the government should get out of the way and let the private sector get back to growing the economy - on it's own terms.


not a plastic bag
You raise some good points. I'm a big fan of cheap education. Not in the traditional sense where we subsidize kids going to college. But, more like University of Phoenix. It seems we could easily set up a website like called where you went to and learned about the field you are interested in and then went somewhere and took a proctored test. There are many fields of study that require a university setting, but there are a lot that don't. I'd be all for the government helping to facilitate a a program like that where instead of paying a few thousand a semester, you'd be paying a few hundred. If we as a nation want to compete with the rest of the world, we better be the best trained.


Endangered Species
The Recession. We've been in it, what, 2 1/2 years now? even Longer?
Not as long as you think! Its been 14 months since the US officially went into recession, but most analysts feel the turn was about 20 months ago. The real crunch came about a year ago with the collapse of Lehman Brothers and the subprime mortgage fiasco plus a healthy dose of media sensationalism has made this recession a little worse than it should of been.

The cause is simply to do with the economic cycle of peaks and troughs. It has very little to do with wars, government intervention or labour unions. We have had good years followed by bad years as the markets right themselves for as long as we have had financial markets. In the good years we over inflate demand and predicted consumption and thus over produce, the bad months are just the system righting itself. We can soften the blow with stabilising techniques but do little to stop it. All you should worry about is where you fit in the cycle of peaks and troughs, I would not of wanted to be a school leaver or closing on retirement in the last 2 years.
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Do What Thou Wilt
The Government itself cannot put an end to the recession. But, the government can, and should, do some work to the support of the economy. Yes, they may have put us in it, but they really are a factor in getting us out. It is national debt, a deficit in the Trillions, that is a major problem. And its national debt, our government spending money it doesnt have. That is an issue as well. If they don't cut back then we won't return to economic equilibrium.