"Worst Is Yet to Come:"

[DerekLeung]

"Worst Is Yet to Come:"

Americans' Standard of Living Permanently Changed
<-----------Click Me
By Aaron Task in Investing, Recession


February 19, 2009 "Yahoo" -- - There's no question the American consumer is hurting in the face of a burst housing bubble, financial market meltdown and rising unemployment.

But "the worst is yet to come," according to Howard Davidowitz, chairman of Davidowitz & Associates, who believes American's standard of living is undergoing a "permanent change" - and not for the better as a result of:
An $8 trillion negative wealth effect from declining home values.
A $10 trillion negative wealth effect from weakened capital markets.
A $14 trillion consumer debt load amid "exploding unemployment", leading to "exploding bankruptcies."

"The average American used to be able to borrow to buy a home, send their kids to a good school [and] buy a car," Davidowitz says. "A lot of that is gone."

Going forward, the veteran retail industry consultant foresees higher savings rate and people trading down in both the goods and services they buy - as well as their aspirations.

The end of rampant consumerism is ultimately a good thing, he says, but the unraveling of an economy built on debt-fueled spending will be painful for years to come.

 

[Hope]

"Worst Is Yet to Come:"

Americans' Standard of Living Permanently Changed
<-----------Click Me
By Aaron Task in Investing, Recession


February 19, 2009 "Yahoo" -- - There's no question the American consumer is hurting in the face of a burst housing bubble, financial market meltdown and rising unemployment.

But "the worst is yet to come," according to Howard Davidowitz, chairman of Davidowitz & Associates, who believes American's standard of living is undergoing a "permanent change" - and not for the better as a result of:
An $8 trillion negative wealth effect from declining home values.
A $10 trillion negative wealth effect from weakened capital markets.
A $14 trillion consumer debt load amid "exploding unemployment", leading to "exploding bankruptcies."

"The average American used to be able to borrow to buy a home, send their kids to a good school [and] buy a car," Davidowitz says. "A lot of that is gone."

Going forward, the veteran retail industry consultant foresees higher savings rate and people trading down in both the goods and services they buy - as well as their aspirations.

The end of rampant consumerism is ultimately a good thing, he says, but the unraveling of an economy built on debt-fueled spending will be painful for years to come.

well,all the Uncle sams are certainly more lucky than Singapore citizens as their PAP lost the equivalent of $60 trillion in the Temasek/GIC investment.

$270 billion combined loss by Temasak/GIC and increasing by the days.about $197k per residents(3.7 million citizens+PRs)

That is about $60 trillion for 305 millions Uncle/Aunty Sams.

Only thing is Uncle/Aunty Sams are very worried and chased the mad president Bush away-Sinkies are still similing and congratulte PAP for a job well done,that is the difference.

No wonder it is called SINKapore,it is sinking!

 

[hemunkeong]

Bush has been a disaster to the country
He left behind a huge mess

 

[2lanu]

Bush has been a disaster to the country
He left behind a huge mess

He's a joker that fool the whole world round. When he said the world will be a safer place, it sure left many puzzling...

 

[halsey02]

"Worst Is Yet to Come:"

Americans' Standard of Living Permanently Changed
<-----------Click Me
By Aaron Task in Investing, Recession


February 19, 2009 "Yahoo" -- - There's no question the American consumer is hurting in the face of a burst housing bubble, financial market meltdown and rising unemployment.

But "the worst is yet to come," according to Howard Davidowitz, chairman of Davidowitz & Associates, who believes American's standard of living is undergoing a "permanent change" - and not for the better as a result of:
An $8 trillion negative wealth effect from declining home values.
A $10 trillion negative wealth effect from weakened capital markets.
A $14 trillion consumer debt load amid "exploding unemployment", leading to "exploding bankruptcies."

"The average American used to be able to borrow to buy a home, send their kids to a good school [and] buy a car," Davidowitz says. "A lot of that is gone."

Going forward, the veteran retail industry consultant foresees higher savings rate and people trading down in both the goods and services they buy - as well as their aspirations.

The end of rampant consumerism is ultimately a good thing, he says, but the unraveling of an economy built on debt-fueled spending will be painful for years to come.

The United States of America, will be enslaved by the Red tide of China, as Mao Ze Dong analogy of a miilion Chinese standing up to pee.

PRC will buy USA, and O'Bama will have to attend the plenary session of the Communist Party in Beijing in the near future...

Don't laugh!...at this rate USA is going, the ship "Mayflower" will soon be heading back to Ireland....

 

[makapaaa]

Chey! I still thot u wanna comprain about my hubby's and daddy's $260B loss and counting again...​