Are we headed for a economic collapse?

Question

Does anyone read the writting on the walls as the value of our currency plummets and our national debt increases?

Answer 1

yes by all means.i own stock and i;am not making any money on my stock.how can you when the currency plummets.everything is out of control.the national debt, is the worst we have ever had.we can thank George W Bush for that screw up.so to your question yes, we are most likely heading for an economic collapse.things can;t keep going in this direction.something is bound to happen sooner or later.the bottom is going to fall out.and the whole world is going to blame the united states.because this government is letting it happen.the enemy of our;s is just sitting back and laughing at us.911 was the beginning of the down fall of our country.as long as bush keeps us in this stupid war in Iraq the worse it;s going to get.this is just what bin ladin wants.and bush is falling right into his trap.this war is what;s going to break our system.

Answer 2

About every 15 years, people have the same fear: disaster is right around the corner.

During Ronald Reagan's first term in office, the stock market plunged with the biggest decline since the Great Depression. It was very scary. A lot of people thought the bottom was going to fall out. Instead, calmer heads prevailed, and Reagan's wise policies ushered in the unparalleled prosperity of the 1990s (in large part due to his tax credits for R&D, which gave birth to the tech boom).

I am living the sad nightmare of a devalued currency. I moved to the Czech Republic. About six years ago, the dollar used to be TWICE the value it is now. Think about that for a moment.

However, the weak dollar is really helping U.S. exports. That is actually good for the economy.

The percentage of national debt in relationship to GNP is actually smaller now than 20 years ago. Although the figures look frightening, they are not as bad as they appear. If tax revenues continue at present trends, the debt will be paid off in six years. You can verify that on Google.

The advantage the U.S. has is that foreigners have a vested interest in keeping the U.S. afloat. When you sell something in the U.S., you sell more than if you marketed it to all of Europe. There are economic opportunities in the U.S. that simply can't be matched in smaller countries.

Sure, there was recently a big scare with the sub prime mortage fiasco, but remember the even larger Savings & Loan scandal during Bush Sr.'s term. Analysts figured that, if one or two major banks went under, the government simply would not have enough capital reserves to honor the FDIC charter.

However, we got past that crisis without much fuss or fanfare, and we'll get past this too. Remember the old saying, "It is always darkest before the dawn." ... which reminds me, I should go to bed. It's 3:55am here. Yikes!

Answer 3

hahahah, no.. the current debt is around 3% of the GDP.. we are more than fine..

if you look at the last what 5 years the debt has fallen in relation to the growth of the econ...

as always tax cuts have and did lead to growing out of debt...
now if you are old enough you remember the mental midget Jimmy Carter. that was truely the dumbest pres. in US history.. under the carter admin. we had a 10% reported umemployement rate.. that is only the people looking for work.. not the people on gov. support.. we had a 19.4% interest rate.. and around 21% inflation rate.. banks came out with interest only loans... because people could not afford the rent they had...

less than 5% of Americans had stock and the stock market was less that 1000 total points.....

4 years later. Reagan took over lowered taxes.. and by the time he left office total of 8 years later,, 53% of Americans had stock.. and the market hit 10k...

nah. we are not head for a collapse...

unless we stop growing... which could happen .. if the gov. takes over health care..

Answer 4

We've been in the situation before. This is part of a constant rebalancing process. We are, at the moment, cheapening our goods so their will be an increased demand. Then., as the fed raises interest rates, our currency will be more attractive to foreign investors. This will lead to our country having a higher relative gross domestic product because buyers will have made contracts to pay us, but they will end up paying more to us because our currency's value will have increased.

Answer 5

I heard this coming too long ago to speak of without an immediate loss of creditability.
An article in Scientific American...long...long, ago had a description of the lifetime of the oil reserves (those known at the time) a brief description of OPEC and more or less foreshadowed these circumstances...throw in a couple of articles about NAFTA and you get my perspective "How can it not happen?"

Edit- I would like to add if OMNI magazine had an article this year evaluating various economic factors and predicted a significant recession in the year 2038...I don't think that people would be lining up to disagree, just based upon how long it will be before that date comes.

Answer 6

The debt is retreating thanks to the lower currency value. The pendulum is swinging already.
I lived through Carter. Compared to that, this will be a walk on the beach.
If I had a dollar for every time I heard an erroneous prediction of economic doom for the US, I could fix the economy myself.

Answer 7

No. We've been in virtually the same situation before. The result was unpleasant, as anyone who remembers the 70s can attest, but not a collapse. OTOH, we also had a huge build up of debt in the 80s, that was followed not by a collapse but the 90s .com bubble.

Answer 8

Yes I have been for years, if the gas goes any higher, its going to compact everyone, everything you buy at any store or business, will go up, seen the price of milk lately??? it's more expensive than gas???? it could happen, the stock market is falling!!!!! any time I hope something happens to get everything back to normal..PRAY VERY HARD

Answer 9

No, we will stand.

Corrections happen in the free marketplace on a regular basis.

The more someone tries to interfere (read government involvement), the worse it can get.

Answer 10

I bought 200 shares of Ford (F) and 100 shares of General Motors (GM) today.