Quote:
Originally Posted by $5 submissions
And also rolling back on certain types of regulations
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and that there havenīt been regulations produced the last crisis.
I donīt know why people are only looking at numbers and not on the reasons behind the numbers.
even when obama was still in office the US economy was starting to overheat.
instead of doing something against that trump used the running horse and even gave more speed.
the "boom" you actually see is caused by loans of the lower income group.
the number of high risk loans is near the number it have been short before the crash.
visa, amex and other credit based business is booming. also the car industry sold a lot - but they sold it to people who can not pay back.
as the interest have to increase if US donīt want to risk a huge problem, many plans to buy a house have been realized now as long as interest is low.
that produced a boom in new house sales and construction jobs.
this boom was ending already in july when new house sales MASSIVLY went down.
the already ordered houses are not build yet - so the hobs for that will be here for another few months. after that they will be gone.
all high economy phases in the US history have been finance from the upper 40% income group. this one is financed by the lower 60%. that means that many of them will be unable to pay back the loans for their cars and houses.
this cars and houses will go to the selling market when the debtors canīt pay back.
as every child should know, prices are falling in a market where there is more supply than demand. fewer new houses are bought and built - fewer new cars are bought and built - even more people lose their jobs and are no longer able to pay back their loans.
here are a few good written articles about that:
https://business.financialpost.com/news/economy/mortgages-auto-loans-and-credit-card-debt-how-the-poor-are-bolstering-the-u-s-economy
https://www.reuters.com/article/us-l...-idUSKBN1L21T4
https://www.irishtimes.com/news/worl...gain-1.3620641
so what the people here celebrate as "trumpīs victory" is a worrying sign that knows only one way: directly against the wall.
what trump is doing here is nothing new and it has been done a thousand times. it seems like only the following are remembered but not the path that led there.
unfortunately, voters in the majority are stupid and they don't understand the rules of the economy. so they will let themselves be blinded by it over and over again if someone tells them he knows the numbers of the lottery of next week.