Club Cobra - Recession or Depression?

Here's the deal - don't trust in anything that the Obama Administration is telling us.

For example, at http://dyn.politico.com/printstory.c...0D5E53217414AB at the bottom of the article.....

Before he took office, White House aides told us Obama would spend his first months telling hard truths about the complexity of the economic problems and the complexity of the solutions. There’s been very little of that. No high-profile speeches to explain in detail the banking crisis, AIG or the reasoning for every other bailout.

One reason is that White House officials aren’t anxious to explain the depths of the problems. They tell us they anticipate unemployment to exceed 10 percent next year — and the solution to AIG and the banking crisis to require many more infusions of taxpayer money, perhaps another $750 billion. That’s not a popular message these days.

Obama won’t — and perhaps shouldn’t — speak that frankly. But his silence makes it easier for people to whip up public anger over complex issues such as the AIG bailout and saving the banking system.
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According to http://www.bloomberg.com/apps/news?p...TDAGw&refer=us Bloomberg News, Obama's FY2010 budget officially projected an unemployment rate of 7.9 percent in 2010.

Huge variance - Obama's budget is in part (revenue side) based on a rosy picture starting later this year and next year. But, it appears that even the Obama people don't believe that. Now, unemployment is not up to 10% yet but it's going to happen and be higher next year.

Therefore, will all the new spending on new programs - who is going to pay for those programs, more bailout funds for AIG, etc - Well, that would be all of us at every tax bracket - not just the top 1-5 percent.

This mess is much worse that anyone can even talk about - new spending will compound the issues for decades - 10 to 20 years.

We are screwed, big time.

Right now, the smart money is betting on a depression. Gas lines, food lines - a ticket to hell.