GoFuckYourself.com - Adult Webmaster Forum - View Single Post - The future of the USA in the next couple of years..

GreyWolf · 11-13-2007, 05:21 PM

Na... doubt there will be "a total economic meltdown". There is a meltdown in the homes/real estate sector and that does comprise around 25% of the total economy and a big hit whatever way you look at it.

This is not just about the US - it applies to almost all western industrialized countries. There has been a geo shift of wealth creation happening for a few years now and this is ploughing ahead to be the largest economic powerhouse the planet has seen. There will be a cost to the economies of almost all western countries.

If any nation is not in a good economic situation to manage geo economic changes - they are going to suffer more.

The US scenario is really about debt and, predicted years ago, this is just not sustainable. The home market may have been the trigger for the current problem, but it would have happened either way at some point. Simply put - it is just not viable in the long term to spend/borrow $100 when the ability to "earn" is maxed at $10. The reality is the borrowing is $10 trillion. The idea that other nations owe anything near this to the US is fantasy. The reality is that other nations are owed around 50% of that $10 trillion.

The idea that the election of a politician to magically cure this problem is, prob again, expecting too much of any government. It's a massive challenge to even begin to resolve and prob can't be left up to govt alone.

Meanwhile, other western countries (and a few eastern) are not exactly too different. Several countries have inflation issues and import/export imbalances, despite their currency may be stronger than the dollar at the moment. The difference with most in comparison to the US, is that they operate a fairly rigid fiscal policy and their debt levels (pro rata) are nowhere near the levels of the US.

Bottom line... get ready for change globally. It started happening years ago and there is nothing anyone can do to stop it. The best chance of meeting that challenge is to address economic weaknesses on a domestic level and quit getting into a daily mounting debt scenario.

PS Would also predict a further cut in interest rates before year end in the US - else there is a possibility of recession - the consequences of that are too damaging.

11-13-2007, 05:21 PM
GreyWolf So Fucking Banned Join Date: Jun 2007 Posts: 2,036	Na... doubt there will be "a total economic meltdown". There is a meltdown in the homes/real estate sector and that does comprise around 25% of the total economy and a big hit whatever way you look at it. This is not just about the US - it applies to almost all western industrialized countries. There has been a geo shift of wealth creation happening for a few years now and this is ploughing ahead to be the largest economic powerhouse the planet has seen. There will be a cost to the economies of almost all western countries. If any nation is not in a good economic situation to manage geo economic changes - they are going to suffer more. The US scenario is really about debt and, predicted years ago, this is just not sustainable. The home market may have been the trigger for the current problem, but it would have happened either way at some point. Simply put - it is just not viable in the long term to spend/borrow $100 when the ability to "earn" is maxed at $10. The reality is the borrowing is $10 trillion. The idea that other nations owe anything near this to the US is fantasy. The reality is that other nations are owed around 50% of that $10 trillion. The idea that the election of a politician to magically cure this problem is, prob again, expecting too much of any government. It's a massive challenge to even begin to resolve and prob can't be left up to govt alone. Meanwhile, other western countries (and a few eastern) are not exactly too different. Several countries have inflation issues and import/export imbalances, despite their currency may be stronger than the dollar at the moment. The difference with most in comparison to the US, is that they operate a fairly rigid fiscal policy and their debt levels (pro rata) are nowhere near the levels of the US. Bottom line... get ready for change globally. It started happening years ago and there is nothing anyone can do to stop it. The best chance of meeting that challenge is to address economic weaknesses on a domestic level and quit getting into a daily mounting debt scenario. PS Would also predict a further cut in interest rates before year end in the US - else there is a possibility of recession - the consequences of that are too damaging. Last edited by GreyWolf; 11-13-2007 at 05:23 PM..