Entering the double dip

Here we are at the brink of the double dip.
It's 10/15/09 and we are already in it.

80% of economists think we are coming out of the recession - it reminds me of Dick Cheney - whatever he said - the opposite is going to happen - its become clockwork! (talk about out of touch Latte Sippin Elite's!)

Not convinced - you are probably a home owner and still clinging to your cool-aid.
GET OFF IT!

Good god folks - homes did not hit bottom in the SF area until 1994 after the Reagan recession which began in 1989. (do you actually believe this is not about 10 times worse?)

Obama inherited the Bush Trainwreck just as he took office - the US was already in the Emergency Room. The vast majority of this years expenses were already in place - Spending originated by Obama has be fairly moderate given all the tubes running in and out of the hemmoraging body laying on the stretcher. And yet, we are already hearing all across the land of the massive spending by the Liberals, Communist behavior, Socialism is on the march - has everyone in the US lost their minds? (obviously - the real question is "Can anyone clear their head and see both the forest and the trees again?").

We are going in for the double dip due to very low blood pressure. The patient - the body of citizens know as the United States - has a great deal of de-leveraging to do. Time will be the only healer outside of the invention of an anti-gravitation machine or some other extreme anamoly.

We have an abundance of new cars - they need to age before we really need to purchase more of them (the auto industry has accounted for 4.5% of our economy in the past - it will be quite dead for some time).

We have an abundance of homes, town houses, condos and vacation properties. The largest group of retirees in our history are entering the retired years and downsizing their homes for cheap properties in the South - adding to the glut.

Homes in our most affluent areas - generally all the so called Blue states - still have about a mile to fall in price - Rule of Thumb - historically even the best areas have no more than a 5 to 1 value of the average income and the average home price. Eg: if the average income is 100,000 the average home price should be around 500,000 (yea - prices in your neighborhood have a long way to go to the bottom, if not, your in an outlying area where the prices have already dropped to the 3 to 1 and below levels that are the historic ratios in the mid portions of the US).

The current cost to purchase a home requires about 35% down in the still desirable areas and you have to prove you actually have a good income with a ratio of about 26% with a mortgage.
Why not 20% down?



Ronald Reagan increased the National Debt by 700% - that is true by his own administration's account.

Ronald Reagan ushered in the fundamentalist right - dumb and dumber.

Ronald Reagan pioneered Voodoo Economics - and at this point we should give tax breaks for Cake.
(some of you may not know the term "Cake Eater's". Its a term for those who make an average income of 114, 000 per month and to whom we have given the lions share of the the tax breaks during the Bush Jr. administration - and Obama seems afraid to shake their well sheltered boat).
These are the people we so vaguely have called "the upper 2%". In the 2004 election, 17% of the American public thought they were in the upper 2% - odd the Democrats never pointed out that to be at the very bottom of that group you need to make at least 20,000 per month. The Cake Eater's also include Corporations - their ability to monopolize and their ownership of our public officials is nothing short of captivating.




Ronald Reagan openly used the Constitution as toilet paper and his cohorts later openly laughed at their behavior (remember Oliver North?)

Ronald Reagan dispised activist college grads and ended free University in California when he was Govenor - (latte sippin elite's!)

Ronald Reagan hated Unions and fair wages - for that matter - he even created tax breaks for companies that wanted to move offshore! He started the exodus of our manufacturing base. This is not to say that it would not gravitate offshore on its own, but Regan stimulated movement offshore - he encouraged it!

Reagan was the template for George Bush Jr. - they just took it to a whole new level and it has rewarded them in spades!

Reagan was campy with a Western flair - Bush was practically toothless "Texan" and as with any actor, he came with a group of directors and handlers.

Humility is not the mark of someone pulling off a charade and neither Reagan nor Bush Jr. had an ounce of it.

The dazzling brilliance of the Reagan template - proven and tested by the 90's - is the fact that you can completely program the public with messaging. Rewriting history is no problem at all!

Rape and pillage our country for the Corporate interests and walk away as though you are the picture of Patriotism.

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Today we are seeing the largely right wing media tout the Big Spending of the Obama administration - where were they when Bush Jr. was spending at a level even greater than the biggest spender in world history - Ronald Reagan?!

Obama was delivered a Train Wreck - normally trains are pretty efficient and cost very little to maintain - a Train Wreck takes a pile of money to fix.