Black People : Is Amerikkka headed for a depression? 79% of Amerikkkans believe so

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  1. Mad Skillz

    Mad Skillz Well-Known Member MEMBER

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    79% OF AMERICANS BELIEVE WE'RE HEADED FOR DEPRESSION LASTING SEVERAL YEARS - USA Today Poll

    WASHINGTON — More than three in four Americans think the country is in a recession, a USA TODAY/Gallup Poll over the weekend shows, reflecting a crisis of confidence that economists say could make the economy worse. As the Federal Reserve expanded credit to securities dealers and President Bush said his administration had taken "strong and decisive action," the poll revealed pessimism about the economy's direction.

    Seventy-six percent of those polled said the economy is in recession, compared to 22% who said it's not. Not since September 1992, two months before President George H.W. Bush lost re-election, have so many Americans said the economy was in such bad shape.

    "Recessions are almost always crises of confidence, and that's what we're having right now," said David Wyss, chief economist at Standard & Poor's.

    Asked if the nation could slip into a depression lasting several years, 59% said it was likely, and 79% said they were worried about it. A recession is an economic downturn that usually lasts at least six months; a depression is longer, deeper and more broadly dispersed.

    The poll of 1,025 adults was completed Sunday, the day the Federal Reserve financially backed JPMorgan Chase's buyout of venerable investment bank Bear Stearns. It was one in a series of actions meant to stabilize world financial markets and give investors renewed confidence, including a cut in the interest rate on direct loans to banks and a new line of credit for securities dealers.

    "When people experience higher gasoline prices, higher heating costs, fewer employment opportunities, housing prices going down … then the common sense conclusion is things aren't very good," said Brian Bethune of economic forecaster Global Insight. Their pessimism "creates more problems," he said.

    Jared Bernstein, senior economist at the liberal Economic Policy Institute, said a recession can become a self-fulfilling prophesy: "If folks don't feel confident enough to make that purchase, to take the vacation, even to go out to eat, that obviously reverberates negatively throughout the economy."

    http://freedom4um.com/cgi-bin/readart.cgi?ArtNum=76527&Disp=0
     
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