Wages also increase when unemployment is reduced.

Posted by jrd_x on 6/13/2012 9:59:00 PM (view original):
Answer a question for me, what, in a broad sense, caused the downturn in the economy?

I'm not an economist.  My basic understanding is that the mortgage collapse caused a domino effect in the economy.

Posted by jrd_x on 6/13/2012 10:07:00 PM (view original):
Wages also increase when unemployment is reduced.

Everybody's?  Most people?  Half of the workforce?

I know my salary is not tied to the U.S. unemployment rate.

Posted by jrd_x on 6/13/2012 10:07:00 PM (view original):
Wages also increase when unemployment is reduced.

Ummm, no.

You throw **** out like this all the time, but it doesn't pass the smell test.

Wages and Unemployment, while tangentially related, are not cause-effect related.  If unemployment is reduced, average wages can go up or down, depending on about a dozen other considerations. 

Posted by tecwrg on 6/13/2012 10:09:00 PM (view original):

Posted by jrd_x on 6/13/2012 9:59:00 PM (view original):
Answer a question for me, what, in a broad sense, caused the downturn in the economy?

I'm not an economist.  My basic understanding is that the mortgage collapse caused a domino effect in the economy.

In more general terms, a shitload of people lost their jobs and people stopped spending as much money. Agree?

Posted by jrd_x on 6/13/2012 10:16:00 PM (view original):

Posted by tecwrg on 6/13/2012 10:09:00 PM (view original):

Posted by jrd_x on 6/13/2012 9:59:00 PM (view original):
Answer a question for me, what, in a broad sense, caused the downturn in the economy?

I'm not an economist.  My basic understanding is that the mortgage collapse caused a domino effect in the economy.

In more general terms, a shitload of people lost their jobs and people stopped spending as much money. Agree?

OK.

And as a result of the massive decrease in spending, businesses saw demand go way down and had to cut back. Agree?

OK.

And many businesses (and to a lesser extent, individuals) had a bunch of capital sitting still. Agree?

Not many.  Corporations (big Corps), yes.  Small business no.  And individuals no....maybe on the wealthy side, but individuals as a whole, no.

but keep going.

This debate is what the Democrats want to talk about.

That the reason you are unemplyed is that the Republicans want to cut spending.

They want everyone to believe that the only thing that is standing between us and utter chaos is a Big Central Government.

It is a lie. Wisconsin is far ahead of where it was, because of austerity! America needs to follow suit.

Posted by jrd_x on 6/13/2012 11:03:00 PM (view original):
And many businesses (and to a lesser extent, individuals) had a bunch of capital sitting still. Agree?

Waiting for tec.

While you're waiting for tec....

Corporations, and Small Business sit on Capital for a wide range of reasons.  Growth/expansion, investing, or one of the biggest reasons...to aid them through hard economic times.  For small business, this is especially true.  Individuals have far less Capital, than businesses (an exception may or may not be the wealthy).  And in these most recent times, if you are an individual with a 401k, you lost about (not real sure of this number being exact - but I'll take a stab at it) 30% of your savings...NOT to be recovered.  That's a huge hit.  If you're an individual that invests in the market, the markets took a big hit as well.  If you were stuck with said investments, you either take your loss and sell, or stick to long term.
In a recession, Capital shrinks.

Posted by jrd_x on 6/13/2012 11:03:00 PM (view original):
And many businesses (and to a lesser extent, individuals) had a bunch of capital sitting still. Agree?

I have no idea what businesses did with their money.  None of them consulted me.