"Virtually, there is no confidence out there," said Bernard Baumohl, chief global economist at The Economic Outlook Group LLC. "Household anxiety has reached a point that we can count them out to get us out of the recession." Full Story »
Posted by Kaizar Campwala
This news story uses figures and percentages to make its point that things are bad, consumers are scared, thousands of jobs continue to be lost (as in "Bloody Monday" this week), companies are going bankrupt--or at least closing stores-reducing inventories-slowing manufacturing--and concludes that things are going to get a Hell of a lot worse before they start getting better.
One of the most important lessons from the Great Depression was that the more frightened consumers become, the less they spend, which results in worsening conditions. FDR realized this when in his first inaugural address he uttered the famous: "The only thing we have to fear is fear itself." This crisis is going to get much worse and probably last through 2012.
The worse the economy gets, the worst crime is going to get. In my world theres been strong armed robbery, bank robberies, murder for as little as five dollars. When people can't find jobs to feed their families, anarchy is just a few steps away.
There used to be three classes. The rich, the middle class, and the poor. While the poor will always be here, one of the above won't.Guess which one?
AP is usually quality and fast.This story is particularly good because it stays on point throughout. It stays with information on consumers. It does not stray into a corporate view.
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