Friday, February 29, 2008

Reality vs Fiction, the recession is here vs what's recession?

Let's face it, north America is bottled into an economical suffering that was announced five years ago when the mortgages bubble was soaring high like a kite, especially in Canada. Now the markets seem puzzled over what is going on, and why did it happened. The US dollar is weak as the economy rose up only 0.6% so far, and it seems there is no way out even if tax cuts and empty promises are thrown out of the White House on a weekly basis. Wars abroad are costing billions of dollars, not only to the United States, but to the rest of the world too.

Globalization, tailored to make wealthy the rich country only, it's now biting back with huge problems that have no resolution, and banks are struggling to keep up as the national American debt is going up and the no warranties are made to bay back, thus no credit is available to the average population to purchase houses, cars and make investments. Money is disappearing, burnt by the greedy markets that continues to pursue relentless profits over anything that can be milked, it is a take no prisoners policy.

There are rules in this economy, or so they want us to think, but who makes the rules, and who enforce them? Nobody has a clue how the economy really works. Why should they? The more chaotic it is, the more hard is to understand, and keeping everybody confused serves as a way for the markets and who controls them to do whatever the want.

Yes the US is in a recession, according to Merrill Lynch. The USA are having major job losses and their currency is weaker and weaker every day. Everybody acknowledges it, but president George W. Bush, who is more worried to do public relation to his country than face the fact that US economy is sinking and is harming the rest of the world. Inflation has gone up in Europe and so in north America, the end of cheap food, oil, and supply is over; but we fail to recognize it, and pretend that everything is fine. Ignoring the global financial crisis won't make it go away!

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