Muscatine

No-one knows for a certainty that 2008 will be a year of recession. Gurus are all over the map with their crystal balls, some wishfully calling for a ''growth recession,'' while others see a very rotten time ahead indeed.

But better pay close attention--because a great deal is riding on the recession odds. There's the value of your portfolio, the cost of money, your job, the price of oil, inflation and very likely the identity of the next inhabitant of the White House. The worse the recession, I would say, the better the chances of the Democratic candidate.

According to the Economic Cycle Research Institute, seven out of 10 citizens now believe we are or will soon be in a recession. That could be a powerful sentiment slowing the economy. Certainly the credit crisis reflects that we have been in a serious slowdown for some time now. The leading home price index is at a six-year low, financial services are at a 13-year low, while non-financial services are at a 56-month low, according to figures kept by ECRI.


http://www.forbes.com/home/opinions/2007/12/26/croesus-chronicles-recession-oped-cz_rl_1227croesus.html?partner=yahoofp

Peace

I believe we are.

Our Christmas sales were way down this year. Probably 80% of our sales were by credit card. Very little checks or cash. That is always a sign of a slowing economy. One of the news shows I was watching at the hotel was having a discussion about the personal credit card market busting like the recent housing and morgage markets. Wouldn't that be terrible. Credit card companies calling in total balances due. Lots of people would be wiped out. Look at the recent problems CITI was having. Only because foriegn investors stepped in did they manage to divert disaster. I have said this for years, we need not worry about global warming or nuclear wepons destroying man, we will do it to ourselves through the financial markets. If you are invested it would be very prudent to watch your investments very closley the next few years. Things are going to get tight in the near future.

Cyclical



These things have always been cyclical and have a lag-behind effect. What the crier's don't speak to often enough is that ''we are in the sixth year of an expansion, which is longer than the average post-World War II growth cycle''.

Will the Democratic-controlled congress do anything to prevent a recession? Can they? Don't see ANY currently (or formerly) -elected candidates bragging of their achievements in preventing recession.

I only see them spending massive amounts of time in Iowa for their own self-interests, while missing heavy-hitting votes, that we really need their votes on, to demonstrate their true positions.

Slackers!