So is this what a recession feels like nowadays?

Justin, you don't think that the Clinton economic miracle represents a "boom" time?

IMHO, the reason the "cycle" now looks weird is that we never had a real economic recovery to begin with --- employment as a percentage of the potential labor force still lags behind what Clinton achieved, and a great deal of "economic activity" consisted of moving money in investments (including real estate) around at inflated prices.

Personally, I think the whole "business cycle" thing went out the window with the oil embargo in the 1970s. Business "cycles" work in closed systems, and the US economy (which while not completely closed in the past, was insular enough that the "cycle" theories made sense) is now "wide open" to influences well beyond our control.

We need to stop the outsourcing, shut off NAFTA,
That's what's causing the loss of jobs in areas like dayton oh and Detriot Michigan. Put in on even playing field. China needs to have a 40 hour work week, epa laws, osha laws, irs laws, ect. I'm tired of called customer service and getting routed to another country. That is the result of that country taking someones job from mine. I have a problem with it. Cheep over seas laber needs to stop and people that use it need to be shot.

The economy is not what it used to be. Sure there's a low unemployment rate, but how many have given up looking for work with living wages and necessary benefits? For most in the middle class jobs pay less, benefits are less and/or cost the employee more, and there's no job security. Companies are still stingy about vacation time and flex time is too often a myth, while email and other work spill out of normal working hours. The US is not a nice place to work, unless you're in the upper class.

As far as Clinton's economic boom, I didn't experience it. The 90's for me was a time of multiple lay-offs and brainless company reorganizations.

Clinton passed NAFTA, which seemed designed to screw workers everywhere and pad the bank accounts of executives and corporations. No new trade deals that ignore workers - basic pay, environmental standards, and work rules need to be addressed with real enforcement provisions. The EU established a shared baseline that all workers would have, without that trade pacts destroy workers with unfair dual standards.

This "mild" recession is an result of the globalization of companies and work. I doubt that there will be any real wild swings in future economic cycles, barring a war or wide scale disaster. I view it as a good thing, those who adapt will survive, and those who fear these changes....get ready.

Trevor -
you really need to learn your english language and how to spell before spouting off about jobs going to other countries.

The only way a real recession will hit is when the Japanese, Chinese and Arabs stop loaning us back all our money.

Hey Barbara this is not a speeling class. This is opinion on economic theroy. Take your spelling a go somewhere else.

Hey Barbara i din't know this was an english class. I thought this was a discussion on economic theory.

Recession is on the horizon. We have had a recovery from our last recession that was based on cheap credit. Now consumers have overextended themselves just like our goverment, and it is just a matter of time when all this debt will catch up. The rule of common sense economics explains it all, you simply can't spend more than you earn.

Also, this housing mess will take many years to sort out. We are in for slow times.

Trevor,
Study economics because you clearly don't have a clue how the economy works.

"As far as Clinton's economic boom, I didn't experience it. The 90's for me was a time of multiple lay-offs and brainless company reorganizations. "

individual results may vary, but the simple fact is that Clinton presided over the most sustained economic expansion in modern US history.

And he managed to achieve this despite the NAFTA horror -- indeed, I'd suggest that it was Greenspan's ideologically motivated blackmailing of Clinton (i.e. "if you spend money on social programs, I'll raise interest rates through the roof") that really lead to the boom times. Clinton put our economy back on a firm footing because of Greenspan's blackmail -- and we had budget surplusses as far as the eye could see when Clinton left office.

But Greenspan -- a right-wing ideologue through and through -- simply ignored how important it was to maintain US solvency the moment a Republican got into the White House. He acted like a complete moron to keep Bush from throwing the nation into a deep recession -- not raising hell about the fat-cat tax cuts that have taken us from financial stability to budget deficits that (combined with our balance of trade deficits) are likely to result in an eventual economic armageddon....

The 2001 recession was very mild, too. I think that's why the recovery is hard to measure against previous recoveries. 2001 had one negative quarter of GDP. Is that "technically" a recession? Even with the Internet stock bubble bursting and companies that didn't make sense going out of business, unemployment never reached high levels in 2001-2.

The wage comparisons in economic recoveries is again hamstrung by the Internet bubble. Programmers making $250 an hour to fix Y2K bugs, and Home Depot tile installers quitting their jobs to create web pages in HTML, created a big salary bulge in the late 90's. This was met by increasing supply as everyone became a programmer. At least for awhile. Like everyone being a real estate agent in 2005, I suppose...

This is the 2nd longest bull market ever. Home prices are still well ahead of where they were 10 years ago. That's why it doesn't feel like slow economic times.

We're all fighting for Nintendo Wiis, big screen TVs, and planning our summer vacations!

We are worried about what the biofuels craze is doing the the price of beer, though. Now THAT is serious....

Henry David Thoreau said, "There are thousands hacking at the branches of evil to one who is striking at the root."

I know few people who are really trying to strike at the root of our money problem. The "root" is never discussed in mainstream economic theory anymore. It is simply:

That the masses are being duped into believing that this mysterious paper we call money has some intricate value. It does not. The paper we pass is really debt. Nobody really owns anything, including the homes for which you pay. It is perceived ownership simply because we may possess certain things at certain times. But, stop working for the system and see what happens to those possessions.

Man, am I one of few that sees economic slavery full steam ahead here? Free enterprise? Free Market? Capitalism? Bah! We do NOT live in a capitalist society. Capitalism is the right to profit off what YOU OWN (emphasis only); not to profit off borrowed money or to profit off the taxpayers, as is readily done by corporations.

At one time, commerce funded government because they directly benefitted from the effects of government (exports). Now, we who work with our hands pay the bills while corporations pass the liability to us while discussing their next merger on a golf course.

It is a wretched mess, of which none here are qualified to fix...including this common, podunk, country, corn fed, happily married husband of 27 years and father of four wonderful children. I may broke in one way, but, very rich in others.

The economy is good in my opinion. The only people that are complaining are the people who borrow too much money and do not save or invest.
I am making a killing in the stock market! My portfolio is looking pretty healthy right now.

Those of you complaining about outsourcing obviously have no clue how much this helps smart investors like myself. Once jobs are outsourced, the companies end up saving money, which boosts earnings. This helps me to maintain a leisure lifestyle of swimming, golfing, playing the guitar, and drinking Coronas.

I seriously suggest that you guys stop watching TV and eating junk food and read up on investment. A few thousand dollars invseted correctly can lead to a very prosperous lifestyle. It's never too late to get in on the game.

But why try? I mean why prepare yourself for the uncertain future when you can borrow excessively, squander your pay on cheap consumer goods, get downsized from your job, and complain about greedy corporations and self-interest groups? You guys need to keep up your poor financial habits because it helps me to live my wondeful lifestyle. Retiring at such a young age is so great. Being me is so wondeful!

"The economy is good in my opinion. The only people that are complaining are the people who borrow too much money and do not save or invest.
I am making a killing in the stock market! My portfolio is looking pretty healthy right now. "

that's nice...but most Americans can't afford to "make a killing" in the stock market. For the majority of Americans, paying for basics like housing, transportation, insurance, food and clothing means that stock market speculation is simply not an option (especially if they want to put money into safe investments for their kids college education and their own retirement.)

That's the problem with following "most Americans". The majority is always going to lose. You have to be an individual and do as the minority of rich folks do. You have to learn how to play the game or the game will play you. Doing what everyone else does is DANGEROUS! But this cycle will always exist because people refuse to discipline themselves and learn from those who are financially savvy.

The majority is always going to lose. Therefore, I will always win.

"The majority is always going to lose. Therefore, I will always win."

[extended obscenity-laden flame deleted]

Trillions of dollars is already outside the US in some others hands. It is clear enough that a big chunk of the american wealty belongs to asians. What if they decide to buy back?