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alstry (35.98)

MOAP....9.09

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September 08, 2009 – Comments (19)

You will learn in September that practically every city, county, and state in America is being forced to make  dramatic cuts.  You will learn that even with a $2 Trillion dollar deficit....business is shrinking in America AND there is very little hope to make up that deficit without MASSIVE cutting.

Here is the really interesting part....government accounts for  50% of GDP in America.  What happens to America's consumption economy when the Big Consumer can no longer consume and itt reveues are evaporating?

As we proceed through September, you will soon realize the our consumption economy is coming to an end.....the question is what will replace it and whether we will have any say in the matter?

Keep watching the ticker......the computers are busy today.

SANTA FE, N.M. (AP) -- Furlough. It's a dreaded word in state government as the Legislature and Gov. Bill Richardson decide how to erase a more than $400 million budget deficit.

New Mexico's court system warns that unpaid worker furloughs will become necessary if lawmakers sharply cut spending to balance the budget. Richardson plans to call a special session of the Legislature, probably in October, to deal with the state's financial problems.

If 5 percent budget cuts are required, "every employee in the judiciary is likely to get furloughed," said Artie Pepin, director of the Administrative Office of the Courts.

"Obviously, we don't want to furlough anybody and our priority is to avoid furloughs, but if they take another 5 percent from us, we don't have anything else we can do," Pepin said.

http://finance.yahoo.com/news/NM-courts-expect-furloughs-if-apf-3920699199.html?x=0&sec=topStories&pos=7&asset=789ee8603f9c2c6b5790a05b6bb8b18a&ccode=rd

DENVER - If you want a driver's license, a copy of an accident report or a tour of the state Capitol, you'll have to wait until Wednesday.

More than 15,500 state workers are taking their first of four unpaid days off Tuesday because of budget cuts.

http://www.kdvr.com/news/kdvr-furlough-090809,0,6164649.story

YOU CAN'T GROW A CONSUMPTION BASED ECONOMY IF THE BANKS ARE CUTTING OFF CREDIT TO THE CONSUMER AND THE BIGGEST CONSUMER IS RUNNING OUT OF MONEY.

THE ZOMBULATOR HAS UNLEASHED THE SEPTEMBER SLASHER....SOON YOU TOO WILL KNOW.

19 Comments – Post Your Own

#1) On September 08, 2009 at 2:39 PM, alstry (35.98) wrote:

COAST 2 COAST..THE SEPTEMBER SLASHER IS CUTTING

Gov. Timothy M. Kaine is outlining a budget-balancing plan that includes more layoffs of state workers -- nearly 600 this time.

Facing another hole the Virginia budget, Kaine is again cutting costs, pruning programs and trimming the work force.

His plan calls for the elimination of just under 1,000 state jobs, including 593 layoffs.

The governor also is ordering an unpaid day off for most state workers. The so-called furlough would be taken the Friday of Memorial Day weekend next year.

Because of the continuing recession, revenues are off another $1.5 billion.

http://www2.timesdispatch.com/rtd/news/state_regional/article/KAINGAT08_20090908-135201/291368/

As the bankers tell you things are getting better, the slasher is taking no prisoners as revenues evaporate.  You can only evaporate so many billions in revenues before there are not much revenues left.

Billions in revenues evaporating, trillions in deficits......and economists say the recesssion is over......no my friends...9.09 is just beginning.

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#2) On September 08, 2009 at 2:41 PM, prose976 (< 20) wrote:

Damn the torpedoes!  Let the slashing continue!  We don't need all those people in government.  Let government continue to shrink.  Next stop...Washington!

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#3) On September 08, 2009 at 2:45 PM, alstry (35.98) wrote:

NORTH TO SOUTH...EAST TO WEST...THE 9.09 SLASHER DOESN'T REST

Labor Day festivities were toned down for politicians across much of Illinois as State officials try to avoid up to 2,600 layoffs in the coming months. 

Ongoing negotiations with AFSCME broke down late last week as Union officials stated they could not accept the concessions state officials were asking for.  According to AFSCME, the state had hoped to renegotiate the current bargaining agreement with up too a 15% reduction in pay.  However, union officials cited that even with the concession, they were informed that 1,000 state employees would still face layoffs.  As a result, AFSCME officials walked away from the table, leaving Illinois Governor Quinn to find new solutions. 

http://www.examiner.com/x-21037-Illinois-Statehouse-Examiner~y2009m9d8-Union-negotiations-break-down-as-2600-State-of-Illinois-employees-face-layoffs

Think of all the income tax and social security and medicare taxes no longer being generated as the September Slasher cuts and cuts and cuts.

Again, business is evaporating in America.....but please don't listen to Alstry, there is a line of Wall Street Economists telling you the recession is over.

This could be the first time in history where less bad was good instead of conditions getting worse.....this really shows how desperate Wall Street has become for one last rally and how Foolish the nation has become.

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#4) On September 08, 2009 at 2:50 PM, alstry (35.98) wrote:

pro,

I understand your excitement...trust me. 

The problem is that we are slashing to compensate for deficits...not to save money...sorta like chasing ones tail. 

As a result, the slashing will cause massive contraction in the economy....with little prospect for growth......especially since government is responsible for 50% of all consumption in our GDP.

My problem is not the cutting, it is Wall Street and Washington not preparing the nation for their Zombulation policies....unless of course they know something is coming that will eliminate their culpability?

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#5) On September 08, 2009 at 3:00 PM, alstry (35.98) wrote:

THE SEPTEMBER SLASHER IS ON THE LOOSE AND NOT JUST CUTTING GOVERNMENT

SAN FRANCISCO (MarketWatch) -- Valero Energy Corp., the nation's biggest independent refiner, announced plans Tuesday to shut some of its East Coast and Caribbean refining operations and cut up to 950 jobs.

SPRINGFIELD - MassMutual Financial Group laid off an additional 160 workers Tuesday, bringing the total number of jobs lost during a corporate-wide restructuring to 500.

Shaw Industries will close Plant DX, a spun yarn facility in Ringgold, Ga., in the upcoming weeks. About 430 employees will be impacted by this closing.

YOU KNOW THERE ARE A LOT MORE CUTS OUT THERE TODAY...

LIKE THIS ONE.....

NEW YORK -- MEMC Electronic Materials Inc. said Tuesday that it will cease production of silicon crystal ingots and wafers at facilities in Sherman, Texas and St. Peters, Mo. About 540 employees in the U.S. will be affected and a small number of these will be offered positions at other MEMC locations.

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#6) On September 08, 2009 at 3:05 PM, alstry (35.98) wrote:

HOW TO KILL THE SEPTEMBER SLAHSER...TAX THE RICH 100% AND GIVE IT TO THE POOR!!!!!!!!!!!!!!!!!!!!!!!!!

Wis. Democrats propose tax increase to create jobs

 

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#7) On September 08, 2009 at 3:08 PM, dickseacup (66.84) wrote:

Just reported on CNBC:  Consumer credit was expected to drop $4b, but it dropped some $21B. Our consumption driven economy isn't looking so robust.

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#8) On September 08, 2009 at 3:20 PM, alstry (35.98) wrote:

dick,

Without restructuring....our economy will be practically extinct.

When you are cutting as a result of deficits....there is no savings as a result of the cuts....simply a contraction of the deficit.

But as you cut, it contracts the economy causing more deficits requring further cuts until there is nothing left to cut....

Right now we are still at the beginning and there is a lot of stress....just wait until the end of the quarter when the masses realize there is no recovery....

Soon all will understand 9.09.....the outlook for America at the end of Q3 will be dire...unless we restructure.

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#9) On September 08, 2009 at 3:25 PM, USNHR (32.77) wrote:

Collection Agency creates 140 new jobsWIVB - ‎5 hours ago‎“An additional 140 jobs for Western New York is a huge win, particularly coming on the heels of the Yahoo! and GEICO job announcements,” said ESD Chairman ...

228 new jobs possible for Guilford CountyGreensboro News Record - ‎3 hours ago‎The company would bring 228 new full-time jobs that pay an average wage of at least $44000. Commissioners will hold a public hearing on the company's ...

Northern Kentucky Gains High-Wage JobsWCPO - ‎4 minutes ago‎A significant portion of the new jobs in 2008 was from the opening of the Fidelity Investments office facility at 100 Howe Drive in Covington .”

Alstry,  While don't neccessarily disagree with you, the way you handpick headlines can be irritating at times.

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#10) On September 08, 2009 at 3:30 PM, alstry (35.98) wrote:

USNHR,

S&P revenues are DOWN 16%.

Government is running a $2 Trillion dollar deficit.

Credit is contracting at a historically high rate.

That alone accounts for 20% of GDP.....the other stuff is simply supporting evidence.

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#11) On September 08, 2009 at 4:02 PM, davejh23 (< 20) wrote:

USNHR,

Northern Kentucky Gains High-Wage JobsWCPO - ‎4 minutes ago‎A significant portion of the new jobs in 2008 was from the opening of the Fidelity Investments office facility at 100 Howe Drive in Covington.”

Not that this isn't good news, but Fidelity vacated an entire building and laid off every employee, including a friend of mine, at a customer service facility near my home. 

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#12) On September 08, 2009 at 4:03 PM, jason2713 (< 20) wrote:

Fed: consumers cut debt by record $21.6B in JulyFederal Reserve says Americans slash borrowing by record $21.6 billion in July

WASHINGTON (AP) -- Consumers slashed their borrowing in July by the largest amount on record as job losses and uncertainty about the economic recovery prompted Americans to rein in their debt.

The magnitude of the drop surprised analysts. Some thought the Cash for Clunkers program -- which began in July and aided auto sales and car loans -- would have blunted cutbacks in other lending areas.

The Federal Reserve reported Tuesday that consumers ratcheted back their credit by a larger-than-anticipated $21.6 billion from June, the most on records dating to 1943. Economists expected credit to drop by $4 billion.  (that's 5+ times the "expectation")

Demand for non-revolving credit used to finance cars, vacations, education and other things fell by $15.4 billion, also a record decline. That 11.7 percent pace was on top of an 8 percent annualized decline in June.

Consumers' appetite for revolving credit, primarily credit cards, declined by $6.1 billion in July, an annualized rate of 8 percent that followed a 6.4 percent drop in June.

Economists predict that consumers will be spending less, saving more and trimming debt to get their household finances -- which have been decimated by the recession -- into better shape.

July's retreat translated into an annualized decline of 10.4 percent. That followed a cut of $15.5 billion in June, or a 7.4 percent annualized drop, and the most since a 16.3 percent decline in June 1975.

The latest cut left total consumer credit at $2.47 trillion.

 

And yet, the market continues higher.

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#13) On September 08, 2009 at 4:11 PM, alstry (35.98) wrote:

jas,

You think the RECORD decline in consumer credit has anything to do with the parabolically rising consumer bankruptcies and the debt being discharged in court?

Thinking is dangerous to your health and wealth these days.

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#14) On September 08, 2009 at 4:20 PM, mawnck (< 20) wrote:

USNHR -

Your third example sounds like genuinely good news.

However, example #2 is a story about a company trying to extort $277,500 out of an undoubtedly hurting local government, and it's only being "reviewed" at this time.

And example #1 is the expansion of a friggin' collection agency. This is a good thing?

I guess cherry picking stories isn't as easy as you thought, is it.

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#15) On September 08, 2009 at 4:23 PM, jason2713 (< 20) wrote:

Alstry

Of course I do...and the US is in a lot of trouble. 

The market is just going to continue higher though fed by greed and a rosey feeling of "the recession is over."  Why?  Because Obama and Benny say so...so that makes it true...right?

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#16) On September 08, 2009 at 4:25 PM, Bojac3728 (< 20) wrote:

Small business is really hurting and if congress votes for union card check; cap and trade and Obamacare one pay public option they will hurt even more. Then you have someone like Charles Rangel  who unreported $600,000 in assets on his taxes. He should be run out of congress on a rail but the Democrats won't. As my Dad said they are as crooked as a barrel of fish hooks.

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#17) On September 08, 2009 at 4:28 PM, alstry (35.98) wrote:

jas....the whole system must be changed because the system is insolvent.  This will become clear to the masses in 9.09 as the Micheal Moore movie comes out.

You simply can't run a $2 Trillion dollar deficit against contracting tax receipts and expect the system to remain intact for very long.

(Reuters) - Capitalism is evil. That is the conclusion U.S. documentary maker Michael Moore comes to in his latest movie "Capitalism: A Love Story," which premieres at the Venice film festival Sunday.

Blending his trademark humor with tragic individual stories, archive footage and publicity stunts, the 55-year-old launches an all out attack on the capitalist system, arguing that it benefits the rich and condemns millions to poverty.

"Capitalism is an evil, and you cannot regulate evil," the two-hour movie concludes.

"You have to eliminate it and replace it with something that is good for all people and that something is democracy."

The bad guys in Moore's mind are big banks and hedge funds which "gambled" investors' money in complex derivatives that few, if any, really understood and which belonged in the casino.

Meanwhile, large companies have been prepared to lay off thousands of staff despite boasting record profits.

The filmmaker also sees an uncomfortably close relationship between banks, politicians and U.S. Treasury officials, meaning that regulation has been changed to favor the few on Wall Street rather than the many on Main Street.

He says that by encouraging Americans to borrow against the value of their homes, businesses created the conditions that led to the crisis, and with it homelessness and unemployment.

Moore even features priests who say capitalism is anti-Christian by failing to protect the poor.

"Essentially we have a law which says gambling is illegal but we've allowed Wall Street to do this and they've played with people's money and taken it into these crazy areas of derivatives," Moore told an audience in Venice.

"They need more than just regulation. We need to structure ourselves differently in order to create finance and money, support for jobs, businesses, etc."

I DON'T BELIEVE CAPITALISM IS EVIL....BUT WHEN YOU FAIL TO UPHOLD THE RULE OF LAW.....IT BECOMES EVIL JUST LIKE ANY OTHER SYSTEM THAT THE RULES ARE ARBITRARILY APPLIED.

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#18) On September 08, 2009 at 4:44 PM, ralphmachio (26.18) wrote:

I'm not really sure, but I do know that when we run out of 'new' markets to sell our crap to, their really doesn't seem to be much opportunity.  Capitalism, in it's expansion phase is fun.  Now we enter the slavery phase.  not fun.  

 

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#19) On September 08, 2009 at 5:43 PM, ElCid16 (95.52) wrote:

"Regardless of what happens, we are a resillient people and a resillient nation.  We will overcome whatever comes our way."

-Alstry

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