I will follow the lead of the Economic Policy Institute, and will give my Readers vital data the day they become null. The interesting factor in the blaze of information lies in the fact that 25 million people have had their Jobs affected by the current recession, whether that adversity is apparent or hidden within some format. There are some 1 in 6 Workers who have lost real-time Income in this Recession, while nominal inflation must be considered to be over 7% since the beginning of the Recession (the later is unconfirmed by Anyone except myself). Economists and Bankers act confused about the troubles of the Mortgage markets, but the Act is wearing somewhat thin. Americans are starting to get worried about the lack of information from their leadership, as the recessive grind continues to eat away at their financial stability. It is time for Someone to step up to the Plate, and admit the failure of the current policies, if Today brings more adverse information.
Paul Krugman makes a creditable attempt at an apology for the fallacies which Economists may have perpetuated, even though I disagree with many of his postulates. Paul places great faith in Keynes, while John Maynard Keynes has always aroused doubts in my own mind from the first Read of the material. I also doubt the immutable benefits of the Market system, but from the other side than an artificial belief system. The relevant point I would make is that Markets are systemic chaos, resembling an animal responding by Instinct–specifically not according to pattern. Market reactions are always new, because of magnitudes of resources involved, and the advancement of technologies. Economists will never find any underlying thread of pattern more than the immediately obvious.
Stefen Deeran presents a short article expressing doubt about small business Startups within the current Recession. I like his presentation, but think a little more enlightenment could aid the process. Service and Product provision was relatively saturated prior to the Recession, with the creation of new Business only attainable with a dilution of sustainable Profitability. The Recession has brought huge cutbacks in the purchasing power of at least one-quarter of the population; my estimate would place the previous number at approximately 60% of the population, bearing with the Fear factor, the disinclination to purchase large-ticket items, and worry about their previous portfolios. The Reality is that American Consumers are still buying, but at a rate about 20% less than the previous totals, and almost every Household is setting up to cut their Consumption far more drastically if the situation warrants. Timothy Geithner’s assertion that all it will take is more Capital may be far from the Truth. lgl