You asked for it…
This is one of those times when the answer to your question isn’t on the front page of the Wall st. Journal, it’s on the front page of every local paper in America.
Oil prices have DOUBLED since last year!!! Any newly minted economist will tell you that the EMPLOYMENT ramifications of those increases take a SOLID 6- 9 months to be felt in any economy. This has caused a slow down in building, shipping, sellling (of ANYTHING), business travel, vacations, airlines, trucking, manufactoring, ect.
With that knowledge and those FACTS, (none of this is opinion) the next phase of our economic down turn will be JOB LOSES!!
I could care less what the latest jobs numbers out of Washington say. Those job losses are from the PAST! I’m talking about job losses in the FUTURE!!!
In my opinion this winter is going to KILL any economic activity left in the country. I just received a letter from my heating oil supplier. Let me quote a few lines to you. Remember this before you read it…I have been a customer for 10 years, this company does my annual service, delivers every DROP of oil I have ever purchased, and I pay within 10 days like clock work… Here’s the letter…
Dear Loyal Customer,
Due to sky rocketing oil prices we have no choice but to implement the following changes to our billing policies. We DEEPLY regret this but we are a small family run business with limited capital and a large customer base. The average 250 gallon oil tank will now cost about $1250 to fill, last year that same tank full cost $600. We can no longer afford to wait for payment for 30 days. We will now require all payments to be made within 5 days or we will require a CREDIT CARD on file that we will BILL when a delivery is made."
How’s that sound??? can’t pay in 5 days??? Now you can pay $5.00/ gallon at 25% interest!!! This should REALLY help things!
Think things are scary NOW??? WAIT…Just wait…I truely believe we are headed for an economic slow down that NONE OF US have every experienced.
Want to know why Paulson and Bernanke are on capitol Hill DAILY???
They are setting the stage…WARNING our Goverment that…“In the near future numerous regional banks will fail.”
I wrote a response the other day where I mentioned doing title work on 38 properties that were purchased BEFORE the boom that were being foreclosed on . NOT ONE of those homes had a PENNY of equity in it. These are the people who keep our economy alive for the last 6 years. Remember the reports of how all the home equity was FUELING our economic EXPANSION?? WELL IT’S ALL GONE!!! MILLIONS and MILLIONS of people REFI’D their homes to the point were they now have NEGATIVE equity. Now they are Losing these homes. THIS will cause the next round of REGIONAL bank failures. People don’t get EQUITY loans from a bank 10 states from their home. THEY GET THEM FROM LOCAL/REGIONAL BANKS!!! The number of homes UPSIDE DOWN is actually HIGHER than the number of SUB PRIME borrows.
Unemployment WILL increase as the economy slows. Oil prices are NOT coming down to $50/ barrel. ANYONE on the edge this winter is ALL DONE!
It’s time to pay for the party this country had for the last 10 years. A lot of people thought it would never end…Well it HAS… The bill due, and if you don’t/can’t pay it…
THEY TAKE YOUR HOUSE!!!