Just because I have been retired for a few years, it doesn’t mean that I don’t pay attention to what is going on around me. I have friends and relatives that are either unemployed or under-employed and actively looking for a job.
But this in the NYT is both shocking and discouraging. The “subprime and Alt-A” mess has started to affect prime borrowers (those with good credit and fixed-rate mortgages) because of lay-offs. I mean it stands to reason that as consumers cut back and spend less, companies that are selling less are eventually going to have to lay off employees, who will spend less. And the cycle keeps going on.
BooMan has what I would call an in-depth and deeply disturbing piece on the economy, on foreclosures, on joblessness and on how George W. bush has FUBARed the country.
This will give you a flavor from BooMan
Maybe someone in the White House has been reading the news over the last several days, and maybe even reading them to the president. (Though until a reporter asked about it, Bush hadn’t heard that gas might soon cost $4 per gallon.) But even the president might not have needed his news predigested this time, because even a perusal of the headlines in the last few days indicates that something — like that middle class anger in the last post — is building, and it’s getting a point where more and more people have nothing else left. And, it follows, nothing left to lose.
I cannot improve on what they wrote. Go read.