Enough from the crybabies
 

It seems like all we hear from the media lately is how bad off we are – when the facts say just the opposite.

One point of view:

5 Questions I Have About the Economy - A Wealth of Common Sense

Things have been looking good to me for a few years, so I agree. Maybe you might think if the media sources you hear are really telling it like it is, or just passing gas.

Seriously, did you even read the article?

1. Why do people keep spending money if the economy is so terrible? We are spending money like crazy. That has to be a good thing, right? But wait:
2. Total credit card debt going over a round number like $1 trillion is scary. Uh oh. But let's not forget inflation is up 20 percent since 2020 so spending isn't as bad as it seems. Author just skims over the "inflation is up 20 percent" in 3 years like that is not a big deal in and of itself.
3. Young people in the first-time homebuyer stage of life have it worst of all, but don't worry,
4. Baby boomers will start dying off in 2030 freeing up home inventory. What? Like all of sudden despite inflation and record household debt Gen Zers will magically be able to afford new homes after the boomers leave the scene? Right.The article in Quoting The Atlantic says it is going to be a long time until houses are affordable again but the author is optimistic things will eventually get better. How quaint. I'll go a step further and say things will eventually get better, then worse, then better..... Hey it will rain, and then stop, then rain again.
5. Are economic sentiment gauges broken forever?Author tries to make a point that the economy is going strong despite how people feel about it. It's our fault for feeling like we do. I just look up at the previous points raised that household debt (and public debt) is higher than it has ever been, that inflation is up 20 percent over the last three years, and that young people (and many older people) can't afford to buy a house and likely won't for a long time and I have to wonder how you saw anything positive in this article? Still, I can't fault a person who sees a silver lining in a very dark cloud. Maybe we all need that perspective.

I always ask people if they think that their children or grandchildren will have a better life than they did.

I hope so or there was something very wrong with parenting skills. One Learns by mistake made, and hopes to improve next gens life.

Families today are having a hard time keeping their heads above water. Something really started to change January of 2021. This article tells it all what families are battling.
https://www.bing.com/ck/a?!&&p=3ace2...vbm9teS8&ntb=1

“If it bleeds, it leads”.

Bad news draws viewers and generates hits. Good news, as a rule, doesn’t. And don’t forget that media is profit - as well as agenda-driven.

It is why I don’t watch or listen to “news” broadcasts any more.

All this has happened before, and will happen again.
Good times, bad times, and yet we are all still here.
Problem these days is everything is politicized, the world is full of disinformation, everyone seems to have an agenda. Suck it up.
Nobody ever promised us a living, you just got up off your butt, and found it!
WTH. :shrug:

I agree, the truth is somewhere near the middle (I hope...)

I came up with my own three reasons why you might want to approach information found on internet news sites with a healthy dose of skepticism:

1) Everybody has an agenda. whether it is a media outlet or social media influencer, each person has their own biases and motivations that can shape the way they present information. this means that some stories may be selectively presented to further a particular point of view or to elicit a certain response from readers.

2) Information can be misleading without intention. sometimes, reports are based on incomplete or inaccurate information due to a lack of research or resources. in other cases, information is intentionally distorted to make a point or to sway public opinion. for example, sensationalized headlines that exaggerate the severity of a situation can create unnecessary fear and panic.

3) Context is everything. news stories are often taken out of context and used to support arguments that they were not intended to make. for instance, a quote from a single study or expert may be used to support a broader claim without considering the larger body of evidence or alternative perspectives. furthermore, information can become distorted as it is passed along social media platforms, with misinformation and misunderstandings becoming amplified over time.

So very true

The reason people spend money during an inflation is because if you hold your money until good times arrive, it'll just be worth less. That's not a good thing. Savings and investment is what underpins a healthy economy.

Take my case -- I have a perfectly serviceable 15-year-old roof that will probably have to be replaced before I'm done using it. Do I put off the cost for 10 years, by which time I will actually need a new roof -- and it costs $50,000 -- or do I do it now for $20K and waste 10 years of my old roof's life? I will probably be forced by our broken economy to do the stupid thing and buy a new roof I don't need next year. In what universe is that a "good thing"?

And, yes, we are breaking all the low unemployment numbers right now. Also not a good thing. People are taking 2nd jobs because the salary on the 1st one can't keep up with inflation. And we have, even by the gooberment's own fake count, at least 9,000,000 new "migrants", taking any job they can, which also drives the fake unemployment number (and wages) down. The number to look at is labor-participation. It has barely increased since Covid sent the entire American workforce home for a year. And that is a very bad thing.

Just be glad you're old and not trying to raise a family right now. And pray your nestegg and Social Security don't go bust before you do.

Higher savings interest rates usually come with inflation, which offsets much of the rising costs.
These days my wife and I have most of our funds in tax free, inflation tracking government cash bonds, and they are doing well for us.
Problem is, many have borrowed to the hilt during good times, and never left themselves any leeway for a downtrend.
I am no fiscal genius, but I learnt not to borrow more than I could pay back, even with substantial interest rise.

The haves will always have, the have nots well will not. It takes money to make money.

Regarding the Labor Force Participation Rate….10,000 people a day turn 65. There are more people who leave the labor force every day than come in.

There were also at least 2 million excess retirements in 2020-21 due to COVID. Excess retirements are those above the normal trend line.

Under the circumstances, LFPR is hanging in there.

There are still many professions which have many vacancies and labor shortages. Some might be expected, but I never thought I’d see the day when we can’t find enough nurses, doctors, teachers, cops, and many more.

I know I've been very fortunate to have been employed doing what I wanted until I chose to retire at 55. But I WORKED MY ASS OFF to train for it and keep getting better. I came from a middle class family where all was paid with cash, DEBT WAS ABSOLUTELY NOT AN OPTION. So we held our cars and clothes until they were run down, only went to restaurants on special occasions, built/repaired everything ourselves, and went camping for holidays. Nowadays it seems the younger generation want their parent's hard earned standard of living right away instead of slowly working towards it. I see videos of young people whining they have it bad, while they're in their car!!! I didn't have a car until I could fully pay for it. Big difference. I blame lack of work ethics, humility, and credit cards/loans, for a lot of the woes.

Well said!

If the issue is the media, you have to understand no matter what you watch or what you're leaning, the media will hype whatever story they can get their hands on. If the media does not go to extremes either positive or negative most people would not pay attention.

We have always had misleading media … newspapers (selling ads to exist), social media (gossip over fences, barbershops, beauty salons, water coolers @ work, billboards, etc), and politicians. It’s always been only partially factual to allow for interested audiences. The differences today is more penetrating means of communication….instant news in internet, deeper audiences via TV than radio/newspapers, social media blogs. Unfortunately, we also have more visibility of extremes…..right wing versus left left wing politics, have versus have nots, legal versus illegal, and litigation systems left open for the taking. Similar problems viewed with bigger magnifying glasses.

That's fine if you want to rely on non credible sources. if you want a real barometer, just look at the interest rate hikes the fed is doing. The reality is that those hikes are to the discount rate (rate banks pay to the fed for use of the funds) the actual effect of rate hikes is practically nothing. They have a way to whack inflation quickly, yet no one is discussing it.

So the current generation pays 52K a year for college tuition (if they go), faces 20% inflation over three years, and it is their parents fault?

Everyone thinks they worked harder than the following generation, myself included. I do believe, however, that we had more opportunities to achieve "grown up" ( A house, children, new car)milestones vs current generations The cost of housing, education, transportation and food have all gone up without income keeping pace. I did research for a paper showing cost of living in relation to income from 1990 to now. As a boomer I say the current generation(s) do not have the opportunities we did.

Read article!
 

Obviously, you didn't read the article.
Debt is not good, whether you're a family or country.

To not think inflation and open borders arent a problem, Is naive. open your eyes.
How many seniors have gone back to work? How many working class parents are working two jobs? Why has % of people living in poverty increased? Tip: dont get your "news" from The Alantic QUOTE=Altavia;2281638]It seems like all we hear from the media lately is how bad off we are – when the facts say just the opposite.

One point of view:

5 Questions I Have About the Economy - A Wealth of Common Sense[/QUOTE]

The only media outlets who are painting a bad outlook are the 'Noise" cable networks - Fox, Newsmax One America, and all the other conspiracy, propaganda outlets. Eggs are back to normal prices, gas is in mid $2 range in many areas of the country. Products that are high in price is due to corporate greed - Look at their record profits. They are trying to make up for lost revenue during the pandemic.

1. Just saw today that inflation is down to 3.2% which is a significant drop from the past 2 years.
2. Mortgage rates are slowly dropping - back when I bought my first house, interest rates were over 13%. I would have thought 7% was a bargain!
3. Gasoline prices are down -we've always been much cheaper than the rest of the world.
So, the media keeps repeating how awful we all have it. But I see that health insurance is now available to more people than ever before, drug prices are being negotiated so our prescription costs may drop, infrastructure is beginning to be improved which will create more jobs....to me that sounds like more good news than bad. Economies take time to react to policies. Things seem to be looking up!

It fells like funny money.

Nor do we.

News
 

A lot of people listen to what I call “opinion cable news”. Don’t have to tell you what those are as you already know. There is news without opinion. PBS and local channel news are best IMHO.

Exactly what I saw and thought. Other thing to keep in mind. While a lot of people here have good pensions, most civilian companies are now doing away with pensions and even the military has worse pension now. Those young people that can save are reliant on the stock market which is tied to debt and inflation. So if you really want to know what today’s generation is feeling. Look at starting salary of few regular jobs, then take out taxes, then look at rent or mortgage costs, property tax, healthcare premiums, day care costs, car costs, food for family of three or four, clothing costs for growing kids, braces, diapers, formula, ect. Major difference in what retirees get and need vs 20-40 year olds.

Yep! Job growth is great and unemployment down. If "the media" you listen to is all gloom and doom, may want to check-in on mainstream media sources once in a while to get a different perspective.

The question is....will our children and grandchildren be fortunate enough to have the same economic conditions we had at their age? NO they will not. Most of us started working with 100% paid medical, many of us had well paid pension plans. We worked for companies where the CEO's were paid 20-30% more than their employees NOT 300% as it is today. We went to colleges that cost $1000-$2000 per year not $40000 and most of us left school without any significant debt. The conditions for today's economy were first established in the 80's with the war on Labor unions and the shift in tax rates, lower and middle class rates went up and the top rates came down from 50% in 1986 to 37% in 1988. Higher education costs have increased more than 170% over the last 40 years while middleclass incomes have increased by only 50% from 1970 to 2020. It isn't today's economy hurting our children it's the changes made years ago.

MANY MUCH-LEARNED MEN HAVE NO INTELLIGENCE (Democritus)

My wife and I are of 'The Silent Generation' and most of our generation inherited nothing from our parents.
They were poor, and our formative years were hard.
Today most inherit fair amount from parents and relatives, even if only a property, but in many cases, cash as well.
My good lady and I hope to keep the cash inheritance to our children as low as possible, by spending it, but our house value alone is more than either of us saw as a lump sum in our lives.
Outlook not as bad as many claim.

I think the future is very bright for our young people, but only if the young person understands that you need to have knowledge and education to get a good paying job. If you have decided to leave school and hang out on the corner doing drugs etc, you are doomed unless you are lucky enough to meet a real do gooder who will give you a start in life.

Having said that I believe much of what happens to you in life is self inflicted. My granddaughter works in the medical field in a job dealing with suicidal drug addition. She is employed by a major hospital in the Northeast and every night they are inundated with people begging for help with drug addition. They do what they can and hope they have helped, but the next night the same person is back. She told me she has to get out, it is soul destroying to see people literally killing themselves for drugs.

I truly believe much of what you make of your life is learned at home during your formative years and if you are unlucky enough to have parents who use drugs (either pills or alcohol) it is very difficult not to follow their example. So we are right back to the haves or have nots.

Gotta love it when they tell you that inflation is ONLY 3.2%. Anyone that does the grocery shopping, knows better. Eggs down? Yes, they were but now twice what they were before covid. Maybe I am mistaken, but just two days ago someone on TV said inflation is still 90% higher than three years ago. Gas "down?" C'mon!!! Yes, we have always paid more than other countries, but other countries are NOT America and we certainly use a lot more than those tiny countries in Europe, where they can get to work on a bicycle. It's nice to live in the Villages where $3.00 a gallon seems okay. But, many Americans drive an hour one way to work every day. In Jan 2021 the price of gas was a little over two bucks a gallon. When our leaders tell us that inflation is down, they mean that the current rate has gone down after it had skyrocketed earlier. When they say unemployment is down, they are blowing smoke because the truth is that almost one third of our population is NOT in the labor force today. Only a little less than half our citizens are working full time. Over 43 million are living in poverty. The average price of a new car in 2000 was $22610 and now over $55K. That information was from government sites.
Sure, we are doing great, .....not. If you are on a static pension, then you are losing money every year and the little raise in Social Security won't be enough to pay the increase in your private health insurance premium. By the way, the price of a dozen eggs is twice what it was in 2000.

Nothing New
 

A cyclist was once questioned about his long trek. His response in the end said it all,”For every hill there is a valley and for every valley there is a hill.”

Inflation is up about 19 percent over the last 3 years. Nobody is disputing that. Now, it may be only 3.1 percent. Is that a good thing? Remember, that is measuring the price of a "basket of goods" this year compared to the same basket of goods purchased last year. What we know is that the basket of goods is 19% more expensive today than in 2020. In that context, perhaps 3.1 percent inflation is good but in more normal times it is horrendous. The FED wants it down to a more manageable 2 percent. It is currently 55% higher than that. Nothing to cheer about.

Meanwhile ... by the gooberment's own fake numbers, over 9 million people moved here illegally in the last 3 years (which is probably closer to 15M when you realize that over 10K PER DAY are now crossing the border). That's more than the population of SEVERAL ENTIRE STATES COMBINED!

So we've actually way more than doubled the number of new entrants to the labor force --even accounting for retirees -- while the participation rate stayed the same.

And here's the telling part of the story. Where have all the "new jobs" come from? The SERVICE INDUSTRY. You know -- the maids, lawn service, and fast food jobs that citizens take as 2nd jobs, or "migrants" take for any wage they can get.

There simply is no "good news" in this economy beyond the hope that it might get better someday. But Good News, everybody! The Great Depression did finally end, after 10 years of gooberment meddling that merely made it worse. Of course, it took the worst war in history and the deaths of millions to do it.

The upper 1% have more wealth today than the entire middle class in the US. Some of the major factors are outsourcing to China and the devastation of labor unions. And income for the middle class in constant dollars has been ZERO from 1970 until a small increase in the last 2 years.

Yep, in 1980 with our 13.5% mortgage and 9% unemployment, it was a rough start. Work hard and you will be surprised how lucky will get.