Comments on: Goldilocks, Gloom or Doom? Three Views of a U.S. Recovery

By: The Two Reasons it's Time to Short U.S. Stocks

The Two Reasons it's Time to Short U.S. Stocks — Wed, 09 Sep 2009 14:17:00 +0000

[...] Money Morning Special Report: Goldilocks, Gloom or Doom? Three Views of a U.S. Recovery. [...]

By: Slow Economic Recovery will Lead to Record Deficits

Slow Economic Recovery will Lead to Record Deficits — Tue, 25 Aug 2009 21:24:26 +0000

[...] government’s reports lend credence to Money Morning’s “slow and gloomy, but could be worse” scenario for the economic recovery, first reported in March. While the housing market and [...]

By: In the Race for a U.S. Economic Rebound, Growing Debt and Budget Deficits Remain the Biggest Possible Roadblock

Mon, 24 Aug 2009 07:15:40 +0000

[...] Although most of the news media focuses on the Obama administration’s $787 stimulus measure, the fact is that the federal government was pushing forward with nearly $12 trillion in rebound-related financing commitments, Money Morning reported this spring. [...]

By: The Three Reasons China Will Lead the Global Rebound

The Three Reasons China Will Lead the Global Rebound — Fri, 24 Jul 2009 10:00:53 +0000

[...] a time when the U.S. economy continues to wrestle with joblessness, a housing hangover, and heightened inflation… due to a questionable central bank "exit strategy," Beijing just reported that [...]

By: After a Tough First Quarter, Investors Have Cause For Cautious Optimism

After a Tough First Quarter, Investors Have Cause For Cautious Optimism — Tue, 14 Apr 2009 10:07:44 +0000

[...] federal government has already committed to funding $11.6 trillion in stimulus initiatives, and the sheer magnitude of that government intervention could play a substantial role in [...]

By: The Three Ways China May Deal With Growing U.S. Debt

The Three Ways China May Deal With Growing U.S. Debt — Wed, 25 Mar 2009 12:09:11 +0000

[...] Money Morning: Goldilocks, Gloom or Doom? Three Views of a U.S. Recovery [...]

By: Chinese Premier Announces New Spending Plan, Voices Concern Over U.S. Treasuries

Chinese Premier Announces New Spending Plan, Voices Concern Over U.S. Treasuries — Mon, 16 Mar 2009 13:45:17 +0000

[...] Money Morning: Goldilocks, Gloom or Doom? Three Views of a U.S. Recovery [...]

By: Buy, Sell or Hold: Shipper C.H. Robinson Worldwide Inc. is Poised to Deliver Major Profits

Mon, 16 Mar 2009 13:40:43 +0000

[...] Money Morning: Goldilocks, Gloom or Doom? Three Views of a U.S. Recovery [...]

By: Gary Wardell

Gary Wardell — Sun, 15 Mar 2009 23:07:20 +0000

"But what would happen if foreign investors suddenly balked at buying additional U.S. debt, meaning the United States couldn’t continue with its current rescue strategies? That fear has grown in recent years, and with good reason: The U.S. dollar would collapse, and the fallout would be almost unthinkable."

The US consumer would stop purchasing foreign made goods. Wouldn't this be a good thing?

Some people are telling me that foreign holders of MBS mortgage backed securities are starting to claim homes in forclosurer.

Has any body else heard this?

By: Sam McBride

Sam McBride — Sun, 15 Mar 2009 22:23:51 +0000

Look, lets call a spade a spade, this "Economic Crisis" is no accident, just an ongoing operation for the big Global Authority boyz to install a new "Bretton Woods" solution with them at top with a one world currency cartel and individual national sovereinty out the bottom including the USA. Look at the footprints of this crisis. Greenspan opened the floodgatges of easy credit with the Community ReInvestment Act for unqualified homebuyers, packaged the toxic secuities, repealled the Glass Stegall Act, got rid of the requirements for Investment Bankers who flooded the world (and decimated the portfolios of untold millions) Oh, install International accounting rules called "Marked to Market" dreamed up and instituted by the private Swiss domiciled Bank of International Settlements (Legally Untouchable by anyone at present) and voila with a few tweaks by well placed bankers and legislators here and there you have a perfect storm orchestrated by a bevy of insiders and an action of a foreign bank to cut off all credit and meltdown banks, stock markets with the hard earned savings of those who work for a living. Keep your eye on the upcoming London Economic Summit with a pretense by the crisis perpetraters to help us out of our folly with a covert draconian scheme all with the cooperaton of lapdog legislators. Never has the Sovereignty of this Nation been in more peril. Lets hope there is enough character left within the Nation to get it back on track and running freely as the framers intended.

By: Anne Keller

Anne Keller — Sun, 15 Mar 2009 13:38:35 +0000

One question – when money was flowing like water, everybody pretty much borrowed what they needed and then some. Why would a company that's relatively healthy need to borrow any more money? And if the company isn't healthy, they can't pay back the loan anyway. The banks ran out of people with good credit to loan to a long time ago. Sounds like the solution includes continuing to support zombie businesses that need to go away. More pain ahead until they do.

By: Are We Looking at a Stock Market Rebound, or Just Another Bear Market Head Fake?

Are We Looking at a Stock Market Rebound, or Just Another Bear Market Head Fake? — Thu, 12 Mar 2009 14:47:01 +0000

[...] Money Morning Special Investment Research Report: Goldilocks, Gloom or Doom? Three Views of a U.S. Recovery. [...]

By: Jerry

Jerry — Thu, 12 Mar 2009 03:26:16 +0000

Yeah, all those guys who caused the problem, like Barney Frank, Chris Dodd and BO himself should be thrown out of office! Oh, you didn't mean them, you meant those evil Wall Street exec's? That's what we have laws and regulations for, genius. What I want to know is, who's overseeing the politicians who REALLY set up this house of cards, only to have it come tumbling down? Who "regulates" them? It's supposed to be US - they're supposed to be working for the people, and we're the ones who are supposed to have the power to hold them accountable. What a sick, sad joke. And now they're talking about another "stimulus" bill. Excuse me while I go throw up.

By: Hector Rodriguez

Hector Rodriguez — Wed, 11 Mar 2009 23:54:07 +0000

I agree with the third scenario,the game is over,all this greed
has brought the house down,and the sad part is that no-body
not the president,nor anybody else is going to be able to fix it.
the U.S as a world power is coming to it's end,the only hope
left is that the U.S get help from the next world power which is going to be Europe,don't believe me now,but let time be the
judge.

By: Mark Larson

Mark Larson — Wed, 11 Mar 2009 18:37:03 +0000

Unless those who caused the problem are removed from the scheme instead of being handed free money with no accountability, as has been done; I feel that your third scenario is the more likely outcome. The machine will not work if you leave all the broken parts in place

By: Jim Laux

Jim Laux — Wed, 11 Mar 2009 18:23:48 +0000

You people really have your heads in your asses. "...it is generally recognized that the Bush tax cuts had huge role in burgeoning federal deficits...". Really. Tax revenues increased with the Bush tax cuts as they have in every previous tax cuts becausde they encourage production. Who "generally recognizes" other than liberals who know only tax increases? Over-spending is what creates deficits and I'll grant Bush did that. Also, "Barack Obama cut taxes as he has...". What? What tax cuts? Giving tax rebates to people who don't pay taxes aren't cuts, they're welfare. What crap!

By: James Yamaki

James Yamaki — Wed, 11 Mar 2009 17:37:36 +0000

Good post!

It gives three possible scenarios of visualizing the future, so individual investors may be able to plan and act accordingly.

I agree with your conclusion that it will be a long, drawn out road to recovery. Our financial system has not been fixed and it still is a work in progress. Our economy is still crumbling and it is going to get worse before it gets better. A global meltdown is occurring and our international monetary system may be due for a major overhaul.

I am wondering.

What is your take on Joseph Schumpeter's theory on creative destruction? Don't do anything; let the pieces fall where they may and then pick up the pieces when everything is a mess and start over to make the economic system work. Would the price be too steep to pay? Would that mean the U.S. and the rest of the world would go into a deep depression? Would it be too big a pain to bear? Would applying this theory in some form be the right solution to our financial and economic problems?

… just wondering.

By: Michel Gendron

Michel Gendron — Wed, 11 Mar 2009 14:19:51 +0000

Excellent article… thank you. MG