Thursday, April 02, 2009

Auto plants

Auto plants
by Ted Rudow III,MA
Thursday Apr 2nd
"It all evokes too many memories of the Great Depression, and the long lines of job seekers in front of the auto plants in the 1930s. It’s quite a contrast with the gentle treatment of Wall Street."Helen Thomas

Somebody was saying in the paper the other day that it's usually about a 50 to 60 year cycle between major crashes. The Crash of '29 followed one that was in 1869. This is almost 80 years! They called it a panic then, whereas they try to give it nice-sounding names nowadays. You notice most of them didn't call it a crash, they didn't call it a panic, they just called it a drop.
Well, the nice thing about it is, if it follows the pattern of '29, the prices should go down with the incomes. People are out of work, so they have very little income. Prices drop so far that even when the income drops you can still afford to live. Gold has immediately shot up.
Now the next thing to crash is the banks! The Federal Government didn't allow the banks to reopen until they could prove they were solvent. And of course hundreds of them never reopened at all, because they were bankrupted.
Ted Rudow III,MA

No comments: