Economy: Sharpest decline in 26 years

[Bindare_Dundat]

At this rate things should improve by next week.

Economic activity shrank by 3.8% in last three months of 2008, according to the government's gross domestic product report.

NEW YORK (CNNMoney.com) -- The U.S. economy suffered its biggest slowdown in 26 years in the last three months of 2008, according to the government's first reading about the fourth quarter released Friday.

Gross domestic product, the broadest measure of the nation's economic activity, fell at an annual rate of 3.8% in the fourth quarter, adjusted for inflation.

[Bindare_Dundat]

November's job losses:


"The only time I've experienced this was the second quarter of 1980 where we had the credit crunch, so rather than an erosion, you have an absolute shutdown," "Robert Barbera, chief economist at ITG, said on CNBC. "This is a minus-8.5 GDP kind of number."

[Bindare_Dundat]

http://www.bloomberg.com/apps/news?pid=20601087&sid=a.xdIBsM2W9I&refer=home

[Bindare_Dundat]

From another source:


numbers broken-out by Bloomberg:

Personal Consumption: -3.5%
Durable Goods: -22.4%
Business Investment: -12.3%

Increase in excess inventories aided the GDP numbers, without the excess Inventories, GDP: -5.1%

Government spending aided another 3%-5% ...

In other words: Q4 2008 A complete Disaster and worst on record since 1933!

http://finance.yahoo.com/news/Economy-shrinks-at-38-percent-apf-14206486.html

Economy shrinks at 3.8 percent pace in Q4 2008, worst showing in over quarter-century


WASHINGTON (AP) -- The economy shrank at a 3.8 percent pace at the end of 2008, the worst showing in a quarter-century, as the deepening recession forced consumers and businesses to throttle back spending.

Although the initial result was better than economists expected, the figure is likely to be revised even lower in the months ahead and some believe the economy is contracting in the current quarter at an even faster pace.The new figure, released Friday by the Commerce Department, showed the economy sinking at a much faster clip in the October-December period than the 0.5 percent decline logged in prior quarter.

Although economists expected an even worse fourth-quarter performance -- a staggering 5.4 percent rate of decline -- the results were still grim.

The report provided clear evidence of the economy's rapid deterioration as the housing, credit and financial crises -- the worst since the 1930s -- feed on each other. It's a vicious cycle that has proven difficult for Washington policymakers to break.

[240 is Back]

things are looking great.

[Soul Crusher]

things are looking great.

Now is the best time for people on unemployment to go and start a business so when things get going they will be in good shape.

The days of getting "a job" are over.

[240 is Back]

i've actually been getting STEALS on items on craigslist.  Weights, guitars, etc.  I knew the shit was coming and saved my pennies.

[freespirit]

America is Bankrupt.

[OzmO]

Now is the best time for people on unemployment to go and start a business so when things get going they will be in good shape.

The days of getting "a job" are over.

And what kind business would that be that isn't dominated by larger companies who can offer better service and cheaper prices on products?

[Soul Crusher]

And what kind business would that be that isn't dominated by larger companies who can offer better service and cheaper prices on products?

Anything related to a/r management, payroll services, medical billing, contract sales, handyman, home energy consulting, debt consolidation consultant, tax cert agent,

There are endless possibilities.

In my business, I am very small, but offer great service at similar prices to large offices.   The difference:

1.  Personal 24/7 services via cell phone, email, whatever,
2.  No outsourcing
3.  I actually know WTF I am doing.
4.  I call back and am agressive in getting the job done.
5.  I dont nickle and dime clients.
6.  I send frequent emails to clients to see how they are doing. 

Its not that hard.  Its the small things.  People want to feel special and not like a number and $ sign.     

 

[Bindare_Dundat]

And what kind business would that be that isn't dominated by larger companies who can offer better service and cheaper prices on products?

There are tons of businesses that a person can get into with the possiblity of surpassing other larger more esablished companies. Doesn't it happen all the time?