Recession? (house, rent, income)

[User 2]

The Institute for Supply Management reported that its January non-manufacturing index slid to a reading of 41.9,

(....readings of 50 and better denote growth.)

So this is a contraction, ....a 'surprise', as the analysts said.

Service sector contractions are an unwelcome omen, ...the service sector is supposed to be insulated from the current financial woes..

.....surprise, ...it's not.
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Wall Street Journal Wed Feb 6.

Recession Fears Intensify

Recession worries surged, slamming financial markets, amid signs that service businesses -- from hotels and retailers to banks -- may be stumbling in both the U.S. and Europe.

In the U.S., a key barometer of the strength of the service sector dropped to its lowest level since October 2001, and suggested those businesses are now contracting. In Europe, a similar indicator fell to a four-year low.

The readings fanned fears on Wall Street that the U.S. is about to tip into recession, if it hasn't already done so, particularly startling analysts who had viewed services as the nation's last bastion ...

Free Preview - WSJ.com



We should have run a budget that is in surplus during times of a boom,

we could go ahead and run a small deficit during any time of recession,

we should only borrow to fund investments that pay larger future benefits,

....that would result in more surpluses, and that would have allowed us to pay down debt in order to fund future expenditures,

.....that would have benefitted all taxpayers today.


Bush did just the opposite.

And he's just proposed more of the same bad policy with the recession of his making looming.

Now, your kids, and their kids, will still be paying for Bush's mistakes all their lives.......

Send Bush my regards, eh? .......and the same for his supporters.
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[Vancefish]

We the United states, are Not the richest country in the world. This would require having any wealth of course. We are the worlds number 1 consurmer nation with the highest national DEBT in the world. I'm sorry to break this to everyone, but debt is not wealth. It is poverty for your children and future depression, not just recession. The jobs are moving because we as Americans can't seem to understand why demanding more and more pay and benefits while our government just prints counterfit unbacked paper money and continues to spend like a nasty 13 Y.O. who just cashed grandmas savings bond. When told about this we snicker and say things like "well Fox news said". Well, I've read that propoganda has been around quite a while. After reading a few well written articles in the financial times, Infowars, Patriot trading group and others I believe Mr. Murdock is Full of.. well Government funding. I see or at least don't see why He'd force this crap down our throats unless he's well Paid for doing it.
I could buy a house $200,000 Today. In 1913 I could buy an equal home for around $4350. Just to point out real inflation. That is the same amount of money. When I say "same", I mean that BOTH are about 4300 one Ounce gold pieces. In 1913 these coins were worth $20. Today the same coin is worth over $900 and rising FAST. THIS IS INFLATION!!

[Barkingowl]

I wonder if we'll reach Zimbabwe's level of inflation?

[Dan Beorn]

Back to the original subject...
After some research I believe Alaska will probably see a loss of jobs in the tourist industry. I mean if the lower 48 (and most of the rest of the world) is going through a deep recession, then you can't expect much of them to show up on cruise ships to see cute whales and moose and such, can you?

While at the same time, as oil and natural-gas go through the roof, Alaska's (and Canada's) oil industries should boom... at least compared to other industries. So, Alaska should see a switch from tourism to industrial economies. Fishing will probably boom as food prices rise. And forestry should sink as new construction falters (no need for alot of lumber.)

Housing should go down in price as people start dumping vacation and investment homes in Alaska. Also tightening credit markets will mean less people will be able to buy homes, so sellers will have to sell to a smaller pool of people. And less people will feel confident enough of their financial futures enough to go into major debt with a new house. You'll probably see more houses turn into rentals as a result. And more rentals mean lower rents (from competition.)

As far as the long term projection for the America... we're pretty much screwed. Falling Dollar, Financial Insolvancy, Baby-Boomers retiring, Peak Oil, Terrorism, Open Borders, Trade Deficit, Global Warming, Pandemics, Asian Emergence....(whew ). All this would take pages and pages to talk about!

[Barkingowl]

Time to stock up on ammo.

[vpcats]

So it's just Doom and Gloom for bedfellows from now on eh?

[Rance]

Some of these folk are fanatics VP. I picture them as the bedraggled souls holding a cardboard sign that says the end is near. Every minute of everyday...we're all screwed...we need to act now...it's all a lie...you people are fools...being herded like sheep...on and on and on. How miserable must that be.

[Barkingowl]

Originally Posted by vpcats

So it's just Doom and Gloom for bedfellows from now on eh?

Actually, no. I draw some hope for our future from the romance of Rance & Sweden.

[Dan Beorn]

Just because something hasn't happened before during your lifetime doesn't mean its not going to happen. Read the news.

[rickers]

The pending reccession I believe is just like a stock market correction. I'm glad I have no credit card debt ! We just need to grab a stick or something to bite on and take the painfull medicine !