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Discussion Starter #1
I have read the "how would you prepare" thread and I think a big one on the list is to get out of debt of which I am trying but it sounds to me like we are going into a Depression now which doesn't give me time to get out of debt. It is going to take me at least two or three years to get completely out of debt.
So what do you think are we headed towards a Depression? and if so how long do you think it will be untill most people will feel the effect?
 

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I'm hoping to be debt free within 6 months. We are putting all of our money towards the cc debt that we have in the hopes that things will feel easier if the economy get even worse. I have no idea at this point when the majority of people might start to feel the effects of our current economic crisis. I'd be interested to hear some other people's views on the subject.

Since I can only control what I do in my own life, I have begun stockpiling HBA again and canned/boxed goods when I find a good deal or have some extra money (it's been slow going due to a lack of both good deals and extra money right now). We aren't planning on making any big ticket purchases right now and we are saving our money and getting rid of the debt in hopes that we will weather any difficult times there might be in store for our country.
 
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I have read the "how would you prepare" thread and I think a big one on the list is to get out of debt of which I am trying but it sounds to me like we are going into a Depression now which doesn't give me time to get out of debt. It is going to take me at least two or three years to get completely out of debt.
So what do you think are we headed towards a Depression? and if so how long do you think it will be untill most people will feel the effect?


May I ask you why you think we are heading for a Depression?
 

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Oh, heavens no. Don't you know? The Government has saved us!
:bigglass:
 

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Absolutely YES!! Our economy is swirling around the toilet bowl. The Big Bailout only slowed it down a little - just delayed the inevitable. Stock up now while you can and work hard to get as much out of debt as possible. Don't forget to stock some seeds for next year's garden!!! Time to learn basic life skills ladies - soap-making, sewing, quilting, cooking without electricity, gardening and canning, etc.
 

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Discussion Starter #6 (Edited)
May I ask you why you think we are heading for a Depression?
Well I hear it spoke of quite often on the TV News and radio news.. Which means it could become self fulfilling. I am sure we have all heard the story of the Man selling sandwiches and doing well till someone told him it was a Depression and then after hearing the news he wasn't able to sell any more sandwiches.

They have been saying that this "is the biggest financial crisis since the Great Depression nearly 80 years ago hit the world in 2008".

I saw the question posed in the NY Times.

I also saw this persons opinion which led to me asking the question.
http://www.wnd.com/index.php?fa=PAGE.view&pageId=76921

I have seen several articles about it and was wondering what everyone here thought
 

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Absolutely YES!! Our economy is swirling around the toilet bowl. The Big Bailout only slowed it down a little - just delayed the inevitable. Stock up now while you can and work hard to get as much out of debt as possible. Don't forget to stock some seeds for next year's garden!!! Time to learn basic life skills ladies - soap-making, sewing, quilting, cooking without electricity, gardening and canning, etc.
I totally agree!
 

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It is definitely a case of living in "interesting times" as the old Chinese curse has it (reportedly). I don't think anyone really knows, if only because the economy of the whole world is so interdependent and entangled now. But it all looks pretty unpromising to me to say the least. Tough times ahead (or already here) for an awfully lot of folks. At least we have already all made the mindset change to frugal and responsible.
 

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Since the Great Depression, we have never been this close to it reoccuring as now.
On the news they are saying that the unemployment rate of the Great Depression is no where near it is now. Well, it's not like all those jobs were all lost overnight.

Also, now we have this huge "service" economy which will take a huge hit as people stop spending. People who work in restaurants or any type of food service, retail, tourist industry. Landscapers, housekeeping, remodeling, massage therapists, personal trainers etc.. All those "specialty" and "upscale" shops. Do you see those doggy shops whether it is a $50 grooming or selling doggy clothes and doggy cookies or doggy daycare staying in business?

And we don't have savings in the bank anymore to tide us over the rough patch. Remember saving for a rainy day? The national savings rate is around 0% with many accruing more debt each year.
 

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Discussion Starter #13
"Great" is a misnomer maybe the question should be a depression but not a great one.
Dow down again over 500 points today.
 

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No I don't. But IF we listen to the news 24/7 we may get a lot closer than we want to be. We all need to keep our heads, vote on Nov. 4th, do what we know to be responsible and hold our leaders responsible.
 

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Probably the greatest threat to the economy at the moment is the fact that it is an election year. Right now all the parties on both sides of the border have resorted to fear mongering for political gain. What was initially predicted to be a minor recession or even a near recession has been quickly escalating to a full out crisis of confidence. Unfortunately, the stock market does not measure economic realities, it measures emotions. Right now fear is high and the resultant panic is turning that fear into a reality. Politicians and media are making this situation far worse than it should have been.

That being said, I do not believe that this will be another 'great' depression (so called primarily due to it's length). Not every market crash leads to a depression, the markets actually crash fairly frequently. And not every recession is long and deep. As well, when I read some of the posts on this topic, both here and elsewhere, I am concerned about the depths to which some people think society will sink. The Great Depression was a difficult time, but it wasn't the end of civilization. Some people (again, not just here) appear to be preparing more for the apocalypse rather than a period of economic depression.

I guess one of the benefits of coming from a region where double digit unemployment rates are the norm rather than the exception, is that prophesies of economic doom no longer have the power to frighten me. When I was in my early twenties, the unemployment rate at home for my age group was 22%. The unemployment rate at the height of the Great Depression was 25%. When times are tough, you just do what you have to do. Sometimes things get better, sometimes things get worse, and sometimes they just plain suck. But you work hard, you go without, you get by and life goes on.
 

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"Sometimes things get better, sometimes things get worse, and sometimes they just plain suck. But you work hard, you go without, you get by and life goes on."

Well said monkeywrangler. It may be that it's time for people to reconsider the overconsuming lifestyle. I'm not realy looking at this as a depression, but more of a correction in cultural values.
 

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One of the news programs talked about it being hard times for people in my age range (30 years old) and that we haven't experienced the same economic confidence that our parents did at our age. I totally agree...My parents had a house, car, 2 kids, only my dad worked, we had clean clothes, food, roof over our head, presents under the Christmas Tree, health, eye, and dental care. I don't remember us going without the necessities. My mom did clip coupons and new how to stretch a dollar. The key thing was my dad was bringing home enough money to afford his house and car and family of 4 and a dog. He worked as a laborer in a factory. He just retired friom that factory and that factory has laid off most of it's workers and the ones that are still there aren't making a fraction of what my father made there.

My fiance and I have been stretching dollars and budgeting for the last few years. We both have college educations. I was unemployed twice since we moved to this city so he could finish his Phd (3 more years to go). I have a decent job now, but we can't afford a house and I hope we can afford kids soon (as long as the econmy doesn't completely tank). I worry about my job, as so many places are downsizing to save money. I worry that my fiance and I won't have the same kind of stability in life that our parents had (and they were 10 years younger than we are now when they got married and began their families). My dream was to be a SAHM and it might still happen, but we are pinching pennis until they scream....:invisible
 

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Great as in "BIG" referring to the size of the Depression. I don't know about most of the people but there are a lot of us who are already experiencing a Depression. Ask those who have lost their homes and jobs. Ask those who were surviving on investments in the stock market. Ask those who are on their last round of unemployment benefits with no jobs in sight - not even a lowly minimum wage one.
 

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I do not think it will get as bad as the depression, but I think it will get worse. The depression had some areas up to 40% unemployment. Americans are panicking at 7-8% and I think that is because people are overextended. In the Carter years we were in Colorado and it was around 25%.
 

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No, I don't think it will be that bad, though it may FEEL that way to some as the days of overspending and over indulgences 'just because' are over as people will not be able to get credit.
 
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