How some in Canada view our recover, and point out a potential future depression (unemployment rate, gas prices)

[pghquest]

Entering the Greatest Depression in History

In April of 2009, it was reported that, “Office vacancies in U.S. downtowns increased to 12.5 percent in the first quarter, the highest in three years, as companies cut jobs and new buildings came onto the market,” and, “Downtown office vacancies nationwide could come close to 15 percent by the end of this year, approaching the 10-year high of 15.5 percent in 2003.”[4]

At the end of March of 2009, Bloomberg reported that, “The U.S. government and the Federal Reserve have spent, lent or committed $12.8 trillion, an amount that approaches the value of everything produced in the country last year.” This amount “works out to $42,105 for every man, woman and child in the U.S. and 14 times the $899.8 billion of currency in circulation. The nation’s gross domestic product was $14.2 trillion in 2008.”[10]

Instability in the oil and gas prices has led many to “fear it could jeopardize a global recovery.” Further, “It is also hobbling businesses and consumers,” as “A wild run on the oil markets has occurred in the last 12 months.” Oil prices reached a record high last summer at $145/barrel, and with the economic crisis they fell to $33/barrel in December. However, since the start of 2009, oil has risen 55% to $70/barrel.

[kemcnyc]

The WSJ recently had a "Yes" vs ""No" Op Ed on this same issue you might find interesting.

Eighty Years After the Great Crash -- 'Is It the '30s Again?' - WSJ.com

Definitely agree that the housing bubble is not over and that it is being temporarily propped up with Stimulus money. This same stimulus money is not creating any wealth. It is merely sustaining things for now. When it is gone...... guess what?

The Op Ed notes the Bond and Gold markets being the true indicators of what is to come and that the rising Stock Market is a mirage. We'll see.

On the other hand, figures pale in comparison to 1930. A slight % of Banks have failed compared to the 1930's and the unemployment rate is far lower now. In other words, things are bad... but not nearly as bad as the Great Depression.

What is interesting is that both the "yes" and "no" opinions note that there has been no employment recovery and that the future is not looking bright in that dept.